With certain restructuring transactions, careful consideration is needed to prevent the transaction from being deemed a disguised sale.
Final regulations issued by the IRS and Treasury allow a Sec. 754 election statement to be submitted without a partner’s signature.
When LLC members receive payments for services performed for the LLC, the tax treatment depends on whether the member is performing the services in the capacity as a member.
This item discusses how owners selling partnership interests should address which states may attempt to tax the entire gain, how taxation of the gain may be divided among the states where the partnership does business, compliance considerations, and technical developments and trends that may affect the transaction.
No deduction is allowed in the year of sale of a basketball team for deferred compensation owed to two of the team’s players.
A law change and some regulations take effect while an array of provisions expire.
This item focuses on the use of unvested capital interests as compensation.
The issue of whether a partnership continues or terminates for U.S. federal income tax purposes frequently arises in restructuring transactions.
Taxpayers dealing with tax basis step-up transactions involving related parties or rollover equity interests should consider the application of the anti-churning rules to avoid unforeseen results.
This article addresses certain aspects of the withholding rules of the final Sec. 1446(f) regulations, options to eliminate or reduce Sec. 1446(f) withholding, and some outstanding issues.
Deduction limitations of Sec. 162(m) to compensation paid by partnerships in Up-C and UPREIT structures
Proposed regulations change the paradigm for the tax treatment of compensation paid by a partnership situated below a publicly held corporation in an Up-C or UPREIT structure.
The mechanics of the withholding regime seem straightforward, but they can be difficult for certain tiered partnership structures.
In highly leveraged partnerships, bottom-dollar payment obligations have been used by partners to increase their at-risk basis in a partnership to use loss allocations or to receive nontaxable cash distributions.
A bonus payment to a hedge fund manager was payment for services outside her capacity as a partner.
Sec. 743(b) adjustments are complex, and multitier partnership structures only exacerbate that complexity.
Regulations governing the federal income tax consequences of a partnership merger lack clear guidance on when a transaction resulting in the combination of two partnerships into a single partnership constitutes a merger.
This article discusses developments in income allocations, disguised sales, partnership distributions, terminations, and basis adjustments.
This article reviews and analyzes recent rulings and decisions involving partnerships. The discussion covers developments in partnership formation, income allocations, and basis adjustments
This article reviews and analyzes recent rulings and decisions involving partnerships.