Legal Updates & Commentary for Tax & Estate Planning
Related Party Expenses
It is not unusual for one close corporation to pay the expenses incurred by a related corporation or business. There are many circumstances in which such a payment may occur, but they share one overriding theme: the related corporations view themselves – or, more properly, their owners view them – as a…
Silly Question?
“Which do you prefer: a taxable or a non-taxable transaction?”
Most taxpayers would probably respond that they prefer a non-taxable transaction. After all, who wants to pay tax if they don’t have to?
Closer analysis, however, may reveal that given a particular taxpayer’s situation, a taxable transaction may yield a better result.…
