Archive for the ‘legal updates’ Category
FBAR Case Reversed – Nonwillful Filing Penalties Based on Number of Accounts Not Reported
December 14th, 2021 by Charles Rubin
Back in 2000, I wrote here about a case where a taxpayer did not report multiple foreign accounts on an FBAR. The question for the court was whether the $10,000 penalty for a nonwillful failure to file meant $10,000 per return not filed, or $10,000 per account not reported on the return. For . . […]
Read MoreU.S. spouses each have a unified credit that allows for substantial gifting to third parties without requiring the payment of gift tax. What happens if one spouse has assets to be gifted away, but that spouse does not have sufficient remaining unified credit exemption to cover the gift and wants to use the exemption of […]
Read MoreIndirect Loans Between a Private Foundation and a Disqualified Person Are on the IRS’ Radar
September 15th, 2021 by Charles Rubin
Code Section 4941(d)(1)(B) treats lending transactions between a private foundation and disqualified person as an act of self-dealing (although an interest-free loan by the disqualified person to the private foundation is not self-dealing) subject to an excise tax. What happens if the private foundation owns an interest in an entity, and that entity holds a […]
Read MoreNew Homestead Laws [Florida]
August 15th, 2021 by Charles Rubin
In its most recent legislative session, the Florida legislature enacted a number of additions and modifications to Florida statutory law relating to Florida’s homestead exemption. These provisions can be summarized as enhancing or clarifying the exemption. The following is a summary of the new provisions, along with some excerpts. ============== 736.0201(7): A proceeding to determine […]
Read MoreForeign Grantor Trust Making a Distribution to Owner/Beneficiary – One or Two Penalties for Nonreporting?
August 15th, 2021 by Charles Rubin
A U.S. grantor of a foreign trust that is a grantor trust that receives a distribution from the trust as beneficiary has two U.S. filing requirements attributable to the foreign trust status: Code Section 6048(b) requires. . .
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