By Jerry Meek (April 12, 2013) This year, Americans will file an estimated 140 million federal tax returns. Dreading the process, many of us wait until the very last day – April 15th – to file. But could there be cause to celebrate on tax day? In fact, there is. That’s because with each passing [...]
Should married, same-sex couples file amended tax returns now?
By Jerry Meek Tomorrow, the United States Supreme Court hears oral arguments in United States v. Windsor, a case challenging the constitutionality of the Defense of Marriage Act (or “DOMA”). Although the Court’s decision in Windsor could affect many areas of federal law, it should be remembered that the case is – first and foremost [...]
Should your business be an S-corp or an LLC?
By Jerry Meek If you’ve decided not to establish a C-corporation, chances are you are considering either an S-corporation or a Limited Liability Company (or LLC) as the alternative. Technically, S-corporation status is a federal tax status, while an LLC is a type of legal entity created under state corporate law. But, as a practical [...]
Does your business have an IRS compliant employee reimbursement policy?
By Jerry Meek Employees are typically reimbursed when they pay or incur expenses on behalf of their employer. But, unless those reimbursements are made in compliance with federal regulations, they are treated as wages to the employee. The consequences for both employer and employee can be crushing: the employer may owe payroll taxes on the [...]
Claims by Two NY Audi Dealers Move Forward
By Jerry Meek Elsewhere, I’ve written about the power of the implied covenant of good faith and fair dealing as a litigation tool. Last week, a New York appellate court proved the point, holding that claims by two auto dealers, based both on the express language of the Dealer Agreements and the implied covenant of [...]
What is the U.S. Tax Court?
By Jerry Meek The United States Tax Court is a nationwide court, created by Congress pursuant to its powers under Article I of the U.S. Constitution. The Court is composed of 19 Judges appointed by the President, former Judges serving on recall (known as “Senior Judges”), and Special Trial Judges appointed by the Court’s Chief [...]
When a Trademark is Infringed, How Long Can You Wait Before Suing?
By Jerry Meek Claims for trademark or service mark infringement are usually brought pursuant to the Lanham Act, 15 U.S.C. § 1051 et. seq. But that Act contains no statute of limitations. So when infringement occurs, how long do you have to seek redress? Some Courts – including the Fourth Circuit – draw on the [...]
Some People Will Do Anything to Avoid Paying Up on a Reward
By Jerry Meek I’m not a big music fan, but a decision last week by the U.S. District Court for the Southern District of New York caught my eye. It seems that Ryan Leslie – described in his Wikipedia page as an “American record producer, singer-songwriter, multi-instrumentalist and occasional rapper – lost his laptop and [...]
2nd Circuit: DOMA is Unconstitutional
By Jerry Meek In 2007, Edie Windsor married her long-time domestic partner, Thea Spyer. Two years later Spyer died, leaving a substantial estate. Large estates can be subject to the federal estate tax, which currently imposes a top tax rate of 35%. But under I.R.C. § 2056(a), any portion of your estate which passes to [...]
Politics, taxes, and your business
By Jerry Meek If you run a business, there are a few things you should know about politics and taxes. 1. There’s no bad debt deduction for debts owed by political organizations. Accrual method taxpayers are accustomed to reporting income when earned, regardless of when they actually get paid. If, in a later tax year, [...]
