Review & Fix Estate Plans Before Law Changes Do
By Wayne D. Eig, Principal
In December of 2010, Congress and President Obama came to a compromise on a series of tax law changes affecting income, estate, gift and generation skipping taxes. (For a summary of the more salient changes, see the “Estate & Gift Tax Laws Provide Benefits For Now” blog post by Jeff Kolender, chair of the firm’s Estate Planning and Estate/Trust Administration practice groups.) These modifications generally had the effect of further extending, and in several important aspects, substantially expanding estate tax planning opportunities for many taxpayers. They adopted the now common and dreaded “sunset” provisions of recent tax law, which means that, without further legislative action, these favorable changes will by and large expire and be lost, in this case, at the end of 2012.
May 2011MD Law Expands Recordation & Transfer Tax Exemptions
By Katherine Palumbo, Principal
Recordation and transfer taxes in Maryland are among the highest in the region, and can be prohibitively expensive to someone wanting to transfer real property–during life or at death, outright or in trust–as part of his or her estate planning. A new state law (effective July 1, 2011) that expands existing recordation and transfer tax exemptions should lower the transactional costs for many types of estate planning conveyances. It will also close a loophole that has recently been used by one Maryland county (and is under consideration by other counties in the state) to impose recordation and transfer taxes on certain transfers of real property from an estate.
May 2011How To Find A Family Law Attorney
By Bibi M. Berry, Principal
Suppose you are considering filing for divorce. Perhaps you have a custody, visitation or child support issue that needs to be resolved. Maybe you want a prenuptial agreement or a postnuptial agreement prepared. Or let’s say you have some other family-related issue that requires the knowledge and experience of a good family law attorney. Where do you even begin ?
May 2011Buying Residence With Partner A Complex Matter
By Arthur H. Blitz, Principal
You and your significant other–boyfriend or girlfriend, perhaps your fiancée–decide to buy a house or condominium together. You figure it’s better to own than to rent and since the monthly mortgage payments will roughly equal the monthly rental payments, it seems like a good idea. Yet whether you know it or not, the two of you are about to enter into a very complex business arrangement and you had better plan and be prepared for the “what ifs” down the road.
March 2011Power Of Attorney Can Be A Helpful Document
By Diane A. Fox, Principal
A Power of Attorney (“POA”) is a document by which you (the “Principal”) give some other person (your “Agent”) the authority to do various things on your behalf. A POA can be a helpful document to have. There are several types; some POAs become effective at a date subsequent to the date it is executed and others are effective only for a specified period of time and/or only for certain specific purposes.
February 2011Estate & Gift Tax Laws Provide Benefits For Now
By Jeffrey A. Kolender, Principal
In December 2010, the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act became law. It keeps the 2010 income tax rates in place for 2011 and 2012 and maintains many of the other so-called “Bush tax cuts.” The new legislation also makes several important (and surprising) changes to the federal estate tax laws. Unfortunately, most of the provisions of the new law expire after 2012 and those favorable changes will remain in place only if future legislation is passed.
January 2011IRS Voluntary Disclosure Effects on Non-Filers
By Paul G. Marcotte, Jr., Principal
A principal feature of the U.S. tax system is self-assessment; taxpayers are expected to accurately report their income and pay the appropriate level of tax when due. The federal government has limited resources to ensure compliance, however, so it recognizes the crucial need to have a policy in place to encourage non-compliant taxpayers to “come in from the cold” and avoid the more severe criminal sanctions that can arise in cases of intentional non-compliance. Many states, as well as several foreign countries, utilize similar procedures.
January 2011New Guidelines Affect Child Support Payments
By Howard B. Soypher, Principal
During the 2009-10 Legislative Session, the Maryland General Assembly enacted a new version of the Maryland Child Support Guidelines that became effective October 1, 2010. The old guidelines had not been updated since their initial enactment in 1989. In general, the mathematical formula underlying the new guidelines tends to produce increased child support awards as compared to the old ones. As a result, it is more important than ever for practitioners and the courts to look at alternative methods (such as a child-needs approach) to calculate child support obligations.
December 2010Facebook Firing May Violate Employee’s Rights
By James R. Hammerschmidt, Principal
Social media has exploded over the past decade and is quickly becoming a workplace issue. Facebook, Twitter, and LinkedIn are no doubt the most prominent of the social media outlets. Although they provide a great opportunity to collaborate, network, and share information, these sites are also rife with misinformation, or worse, downright lies.
November 2010Avoiding MD Recordation Tax On Loan Transactions
By Arthur H. Blitz, Principal
Owners of commercial properties in many counties in Maryland have two choices when it comes to refinancing. One option costs you dearly, the other—when executed properly—creates a considerable savings. Here’s how it all works:
November 2010How and When To File An Appeal
By Patricia M. Weaver, Principal
So, you thought the trial went well, but somehow the judge didn’t see things your way. Your trial counsel is stressing, and you’re wondering what happened and whether you have any recourse. Sounds like the scenario for a potential appeal.
November 2010Meeting Nonprofit Governance Standards
By Ronald A. Dweck, Principal
Nonprofit organizations are under more scrutiny than ever these days from the government, contributors and other constituents. In addition to always making sure there is no private inurement or other activity jeopardizing a nonprofit’s tax-exempt status, there are a host of corporate governance practices that should be examined and need to be put in place.
November 2010