Traditionally, founders and employees with stock options in early-stage companies had to wait until their companies were sold or went public in an initial public offering (IPO) to liquidate their equity interests. Occasionally, a founder might find a buyer for his / her shares, but that was the exception rather than the rule.

It is critical for distressed companies to retain and motivate key talent both during the bankruptcy process and upon emergence from bankruptcy.

On July 29, 2014, Windstream Holdings, Inc. announced its plans to spin-off certain telecommunication network assets into a publicly traded real estate investment trust (REIT) following the issuance of a favorable private letter ruling from the Internal Revenue Service. According to the company, a successful REIT formation transaction will enable it to accelerate the pace of its network investments, enhance its service offerings to customers and maximize shareholder value.

Just before summer, the IRS spoke unofficially about a new audit initiative covering Section 409A compliance for deferred compensation. This appears to be the first organized audit initiative specifically geared at Section 409A compliance since the legislation was enacted nearly a decade ago as a result of several corporate scandals and perceived abuses by executives in the early 2000s.

Just before summer, the IRS spoke unofficially about a new audit initiative covering Section 409A compliance for deferred compensation.

Over the last 15 years, e-commerce has become an increasingly important part of the U.S. economy.

As shown by the results of Alvarez & Marsal’s recent survey of public company change in control agreements (“golden parachutes”), the reaction to the heavy criticism leveled at such agreements over the last decade has been to continue the trend towards either eliminating them or reducing the amount payable under them, often substantially.

It has been 17 years since the United Stationers’ case fundamentally changed the government’s view on the research tax credit and created a new standard known as the “discovery test” (United Stationers, Inc. v. U.S., 163 F3d 440 (1998)).

Foreign tax credits (FTCs) aim to alleviate double taxation by providing a dollar-for-dollar reduction of U.S. tax liability. U.S. multinationals rely on FTCs to reduce cash tax, improve their effective tax rate and optimize earnings per share. They can be highly valuable tax attributes.

The passive activity loss rules of Section 469 of the Internal Revenue Code limit the losses that an individual, trust, estate, closely held C corporation, or a personal service corporation can recognize from trade or business activities in which the taxpayer does not “materially participate.”

The following fact-based analysis, which contains nearly 200 identified references, is a must-read for every
concerned U.S. citizen. Alvarez & Marsal’s Healthcare Industry Group analyzed the $2.6 trillion healthcare
sector to better understand the potential impact of the PPACA. This analysis takes a convergent view across
the healthcare industry spectrum, incorporating multiple vantage points; from clinical medicine to hospital
system C-suites and employers; from the finance community to public policy leaders.

Frank Underwood likely would appreciate that as tax advisors, we are often called upon to fight chaos with chaos. Chaos, of course, describing the present state of our tax system. One particularly chaotic area is determining what constitutes “reasonable compensation” for U.S. federal income tax purposes, particularly with respect to closely-held corporations.

The last couple of years have seen positive changes mainly in the form of additional tax allowances to encourage investment in both offshore UK Continental Shelf (UKCS) exploration and onshore exploration for unconventional hydrocarbons (e.g., shale gas)

In light of the impending global war for corporate tax revenue, this article outlines an audit strategy based on the Eight Rules of Air Combat written for fighter pilots in World War I and applies four of those rules to help companies prepare for tax audits in order to favorably resolve tax controversies.

For many companies, it happens every three to four years like clockwork — you receive a questionnaire or letter with those infamous words "you have been selected for a sales and use tax audit.