Succession Planning

News & Analysis as of

IRS Proposes Rules That Would Dramatically Reduce Valuation Discounts in Family Business Succession Planning

Business Owners May Have Little Time to Act Before Rules Are Finalized - The valuation of a family member's interest in a family business has a major impact on the success or failure of a transfer of such interest to...more

IRS Proposes New Regulations That Will Significantly Limit the Use of Valuation Discounts on Transfers of Interests in Closely...

The proposed regulations disregard restrictions that have been used by valuation experts and acknowledged by the courts to reduce valuations. If you are an owner of a closely held entity, recently proposed Treasury...more

Proposed Section 2704 Regulations

On August 2, 2016, the Treasury Department released proposed regulations amending and expanding upon the current regulations to Internal Revenue Code Section 2704. The proposed regulations, if adopted, would affect the...more

PilieroMazza Legal Advisor - Third Quarter

GOVERNMENT CONTRACTING - Category Management: What Contractors Need to Know - In December 2014, the Office of Management and Budget (OMB) announced a new initiative called Category Management. This policy could...more

Proposed IRS Rules Endanger Business Valuation Discounts for Family-Owned Entities

Historically, the IRS has closely scrutinized transfers of interests in family-owned entities between family members. In particular, it has sought to curtail the use of discounts to decrease the estate and gift tax value of...more

Proposed Regulations May Substantially Reduce the Availability of Valuation Discounts for Interfamily Transfers of Business...

On August 2, 2016, the Treasury Department published Proposed Regulations to Chapter 14 of the Internal Revenue Code which, if adopted, may substantially reduce the availability of valuation discounts for inter-family...more

Game Changer? Succession Planning Targeted by IRS

The Department of the Treasury wants to place limitations on valuation discounts that are currently commonly used to reduce asset values in family-owned and closely-held businesses, in an effort to increase tax revenue. The...more

IRS Issues Proposed Regulations That Will Severely Impact Discounts for Gifting to Family

Discounts for gifts of closely held business interests to family members may be significantly restricted soon. The Internal Revenue Service has issued new Proposed Regulations on August 2, 2016 that would eliminate discounts...more

Family Limited Partnerships: Estate Tax Benefits and More

Family limited partnerships have long been a valuable tool of the estate planner. Although historically recognized as providing estate tax planning benefits through the discounted value of assets, these limited partnerships...more

The Rise of Principles-Based Corporate Governance

In late July, executives at thirteen major companies and investor institutions published and widely advertised their “Commonsense Principles of Corporate Governance” for public companies, boards of directors and shareholders....more

Possible Changes Coming for Valuations of Family Limited Partnerships and Limited Liability Companies

On Tuesday, the Treasury Department and Internal Revenue Service issued proposed regulations which will make it more difficult to pass wealth to future generations while minimizing estate and gift taxes. For decades families...more

Closely Held Family Entities in Grave Danger: Minority Interest and Lack of Marketability Discounts About to Disappear?

After years of slow boiling anticipation, statements made by the IRS and the Treasury this year heated up the conjecture and anticipation which finally came to a head on August 2, 2016. I’m of course talking about the...more

The Next Generation

Almost by definition, a family-owned business consists of multiple generations of owners and operators. The different generations may have different visions for the business, but they are usually all aligned on wanting what...more

New Governance Best Practices Released

On July 21, a diverse consortium of leading corporate executives and business leaders released the compilation, "Commonsense Principles of Corporate Governance."...more

Management Lessons from the Chicago Cubs

Despite the Cubs’ historic start to 2016, a true blue Cubs fan can’t help but remain skeptical about what the fall has in store for the team. A history of 100+ years of doing the same thing with the same annual result has...more

NLRB Decision Potentially Expands "Perfectly Clear" Successorship Rule

The National Labor Relations Board (NLRB) issued a decision in Nexeo Solutions, LLC earlier this week, ruling that the buyer in an asset purchase of the seller’s business was a "perfectly clear" successor. As a result, the...more

Hidden Threats to Your Supply Chain

In 1997, during a period of peak demand, a factory fire at Aisin Seiki Co., one of Toyota's key suppliers, shut down production of P-valves, a small but vital component in Toyota's braking systems. Toyota, champion of...more

Managing the Generational Transition

Almost by definition, a family-owned business consists of multiple generations of owners and operators. The different generations may have different visions for the business, but they are usually all aligned on wanting what...more

Event Recap: Transitioning to Sibling and Cousin Generations

Recently, DWT’s Family Business Group sponsored a day-long workshop on Succession Planning featuring Professor Ivan Lansberg from Northwestern University’s Kellogg School of Management.  Professor Lansberg is one of the world...more

Governor Kasich Signs House Bill 229 to Create Ohio Family Trust Company Act

On June 14, 2016, Governor Kasich signed House Bill 229 into law. The bill, which was over two years in the making, allows an Ohio family to establish its own trust company to serve as trustee for its family trusts. The...more

Top 10 “Must Do’s” Before Selling Your Business

After years of hard work, day after day, night after night, you have decided to part with your “baby”— sell your business. It can be one of the most difficult decisions of your life, and one of the most consequential. ...more

What’s Next: After the Sale of a Family Business

Sometimes, the right succession plan is to sell the family business. Recently, four veterans of family business sales shared their experiences with other families at a DWT Family Business Legacy Series Event in Seattle. ...more

Recap: Powell’s Book’s | The Rise of an Empire

“If you give the business to my brother, you will never see your grandchildren again.” When Michael Powell heard that description of a family business succession plan gone wrong from another family in the area, he...more

The Challenges of “Staying in Place” to Address Succession Planning

Over the past few months, we’ve dedicated much of our blog space to the significant challenges associated with succession planning in law firms. Variations of this topic come up in most current conversations with clients and...more

Board Refreshment: Investors Respond to Trends in Mandatory Retirement Age and Tenure with More Stringent Voting Policies

As many institutional investors have concluded, prevailing governance policies and practices have not produced desired board refreshment, which these investors would support in order to strengthen expertise, promote diversity...more

110 Results
|
View per page
Page: of 5
JD Supra Readers' Choice 2016 Awards

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.

Already signed up? Log in here

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.
×