Category Archives: Tax Law

Deferred Prosecution Agreements, Offshore Disclosure & Dual-Citizens

Deferred Prosecution Agreements, Offshore Disclosure & Dual-Citizens – Golding & Golding Deferred Prosecution Agreements, Offshore Disclosure & Dual-Citizens Deferred Prosecutions Are Dangerous to Offshore Voluntary Disclosure When a person submits to U.S. Offshore Voluntary Disclosure, it is important that they are properly counseled on the impact of a disclosure, and how it may impact their exposure — both in the U.S. and abroad. Offshore Disclosures are Multi-Layered When it comes to offshore voluntary disclosure, there are many nuances to be aware of. The area of law is always changing, and due to recent updates in the law, including changes to various international tax agreements, regulations, statutes, and enforcement procedures — oftentimes even a “simpler” disclosure becomes an incredibly complicated process.  Click Here and Click Here for examples that our team has been called into fix. All IRS Offshore Disclosures are….. To continue reading this legal news please click Read full information...

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Maine’s Water Extraction Tax Proposal Is Poor Tax Policy

Lawmakers in Maine’s 129th legislature have proposed a bill (HP 797) to impose an excise tax of 12 cents per gallon on water extraction performed by each bottled water operator that extracted more than 1 million gallons of groundwater or surface water in the previous calendar year. This plan purports to stimulate the economy of rural Maine, and credits new revenue to the Water Trust Fund. Specifically, 65 percent of the revenue would be earmarked to develop high-speed broadband infrastructure. The remaining 35 percent would be directed to provide tuition grants for postsecondary education for up to two years. The proposal for a water extraction tax, which is not a new idea in Maine, is poor tax policy because it is nonneutral and unstable, and it would open the way to taxing renewable resources. Three previous bills in Maine’s legislature attempted to impose similar excise taxes at various rates and for various purposes; all were rejected. In 2009, HP 191 was….. To continue reading this legal news please click Read full information...

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No Taxation Of Gain From Sale of Stock of Italian Company Under Treaty, Except for Treaty Abuse, Italian Supreme Court Rules

With its ruling n. 25219 of October 11, 2018, the Italian Supreme Court held that the capital gain realized by a German company from the sale of its shares of stock of an Italian company is exempt from corporate income tax in Italy, pursuant to article 13, paragraph 4 of the Tax Treaty between Italy and Germany, except the German holding company has engaged in tax evasion by way of abuse of the Treaty. Law Under articles 23 and 151 of the Italian Tax Code, the gain from the sale of stock of an Italian company is Italian source income, and is subject to corporate income tax in Italy to the foreign corporate seller. However, Article 13, paragraph 4 of the Tax Treaty between Germany and Italy exempts such gain from tax, and allocates the power to tax the gain to the contracting State of which the seller is a resident. Facts A German company owning all of the stock of an Italian company sold the stock and realized a gain. Pursuant to an exchange of information request to the….. To continue reading this legal news please click Read full information...

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Welcome Jennie Clarke to Rubric Legal!

Rubric Legal LLC is excited to announce the addition of our newest partner, Jennie Clarke! Jennie brings three decades of experience and knowledge advising businesses, allowing us to expand our services to our for-profit and nonprofit clients. Jennie is excited to bring her capabilities and knowledge to a firm where she can provide services to clients in an affordable and flexible atmosphere. She has helped businesses of all sizes in a wide range of industries including manufacturing, design, health care, cloud services, retail, and real estate, and her capabilities include: – acquisitions and divestitures (M&A), joint ventures, and strategic alliances – supply chain, including vendor and customer relationships – sales and distribution arrangements – IT contracts, including SAAS, cloud-based services – corporate finance, refinancings, HUD loans, and SBA loans – commercial lending – formation/choice of entity and restructuring….. To continue reading this legal news please click Read full information...

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More on the College Admissions Scandal

By Sam Brunson On Wednesday, I posted about how tax law played a central role in the college admissions scandal. As I’ve read through a little more of the affidavit, I decided to highlight two additional detail in this whole scandal, details that suggest that, for at least some of the participants, the tax consequences were very important. Bruce Isackson and Facebook Stock Bruce Isackson is the president of WP Investments, a real estate investment and development fund.[fn1] According to the affidavit, he used the fake athlete thing (soccer for the older daughter, rowing for the younger) to get two daughters into USC. He seems to have also paid for his younger daughter to get a better ACT score. What’s interesting for purposes of this post is how he paid. For both daughters, he made a significant portion of his payment with Facebook stock: Why pay with Facebook stock? Well, it looks like Mr. Isackson was tremendously tax-sensitive. In fact, on one phone call with….. To continue reading this legal news please click Read full information...

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