Yes, “Bitcoin” is booming, but most people don’t understand what it really is. Basically, Bitcoin is a type of “virtual currency” and is one of the most popular of its kind. While it is still gaining acceptance among the general population, virtual currency like bitcoin can be used to buy goods from many different vendors,…
Many people sign a will and assume they never need to look at it again. As lawyers, we prepare wills that are flexible and deal with multiple possible (even if unlikely) scenarios, but sometimes an unanticipated change and an outdated will conspire to cause great difficulties for surviving family members. What follows is a perfect example…
When I was practicing in Oregon way back when – it seems like a lifetime ago – I worked with a successful farming operation that started in the 1950’s. When I first got involved, the founder (we’ll call him “Dad”) was pushing 80, and he was divesting himself of his interests in the farms to…
In 2015, Congress in its infinite wisdom changed the rules on how audits of partnerships (and multi-member LLCs) were to be conducted beginning on January 1, 2018. Before the change, a tax matters partner (or member) handled an audit of partnership tax returns, but the tax matters partner couldn’t do a whole lot except for…
One of the pillars of President Trump’s presidential campaign was the repeal of the federal estate tax. The estate tax is viewed by some as penalizing the wealthy for being successful by subjecting their assets to double-taxation; most likely their wealth was subject to ordinary or capital gain tax during life and now it is…
When people first open their own business, they envision that it will be successful and meet the needs of their customers, clients, themselves and their families. If the company truly thrives, the founder(s) may want to expand ownership in their business to people that they trust or maybe even family members. If so, the owners…
As I mentioned in an earlier post, I spoke last month on the Federal taxation of Bitcoin and other crypto-currencies. One of the unknowns at that point was whether the IRS would allow or respect Bitcoin investments in IRAs – that question wasn’t answered in IRS Notice 2014-21 (the Service’s initial attempt to explain virtual…
In my estate planning practice, in certain circumstances, I utilize limited liability companies as a means of transferring investment assets, including real estate, to the beneficiaries under the client’s Last Will and Testament or Revocable Living Trust. Aside from asset protection (protection from creditors and other third party claims), I recommend LLCs to avoid probate…
In business, most everyone has heard of a “limited liability company” or a corporation, which is a “limited liability entity” under State law. But, what does the term “limited liability” actually mean? “Limited liability” does NOT mean NO liability. But most people assume that when they file their entity application with the Secretary of State…
Michael Lynch v. Pacific Foods of Oregon, Inc., et. al. involves the issue of valuing a closely-held family business and its ownership interests in the event of death or other trigger event (disability, divorce, etc.). I’m sure most everyone in the Northwest knows of Pacific Foods, the organic food processing company. In this case, one of…