As we approach the end of 2024, advisors must guide clients through the intricacies of tax and estate planning strategies, taking advantage of current economic opportunities while preparing for potential shifts based on political developments. This involves leveraging today’s favorable conditions, especially in light of this week’s Presidential election, which could significantly alter the estate planning landscape. Let’s explore how to craft strategic plans that will allow clients to navigate these complexities and ensure long-term success.

Two significant regulatory changes to retirement plans require immediate attention from plan sponsors, both to ensure current operational compliance and to comply with upcoming deadlines. Many long-term, part-time (LTPT) employees are now eligible for 401(k) retirement plans; there is also a new method of counting defined contribution retirement plan participants on Form 5500 Annual Return/Report. It’s important to note that a retirement plan’s audit status could be affected as these changes take effect.

Nearly half of surveyed physicians in their 50s recently said they plan to retire by their early 60s. The medical field can expect a significant shortage of primary care doctors in the years ahead, which means it will be challenging to ensure continuity in leadership, operations and patient care. But the right kind of ownership transition plan can mitigate these challenges and ensure physician (and patient) retention and the best patient care.

On June 20, the U.S. Supreme Court issued its decision in Moore v. United States, upholding the constitutionality of the Mandatory Repatriation Tax under the 2017 Tax Cuts and Jobs Act. The Moore decision is one high-net-worth individuals and their advisors don’t want to ignore. If nothing else, the ruling reaffirms Congress’ broad taxing authority but leaves open significant questions about the future of wealth taxation in the United States.

In a landmark decision, the Supreme Court addressed a crucial issue regarding the valuation of shares in closely held corporations for federal estate tax purposes. The case, Connelly v. United States (2024), clarified whether life insurance proceeds used to redeem a deceased shareholder’s stock should be factored into the stock’s valuation for estate tax calculations.

Business valuation is a critical process that determines the economic value of a company or an ownership interest within it. Accurate valuation is essential for making informed investment decisions, negotiating sales or mergers, and complying with legal and tax requirements.

As record numbers of boomers reach retirement age, more private companies than ever must wrestle with transition challenges.

A gifting strategy that considers minority interest discounts, the timing of gifts and anticipated appreciation can save millions of dollars in taxes.

Hoensheid v. Commissioner (T.C. Memo 2023-34) underscores the significance of timing and proper appraisal in tax planning, particularly concerning charitable contributions.

If you audit or manage a startup company or other privately held business, don’t overlook the treatment of stock-based compensation. If you do, the financials might not stand up to an audit, which could compromise the company’s capital-raising efforts going forward.

On December 22, 2023, the IRS released Rev. Proc. 2024-09 containing new and revised procedural guidance concerning specified research and experimental (SRE) expenditures under IRC Section 174.

This publication summarizes the new accounting standards with mandatory[1] effective dates in the first quarter of 2024 for public entities, as well as new standards that take effect in annual 2023 financial statements for nonpublic entities. Those effective dates reflect the deferral of certain major standards provided in ASU 2019-10.

The sweeping tax reform enacted in 2017 (the Tax Cuts & Jobs Act) significantly reworked the ways in which individuals, corporations, and pass-through entities are taxed. However, one important but often overlooked change was the shift from a worldwide tax system to a hybrid tax system that’s a cross between the territorial system and the worldwide system.

Cybersecurity is a top concern for many U.S. businesses and industries. The retirement plan industry holds over $37 trillion in total participant retirement accounts, yet only 27 percent of plan sponsors have a written cybersecurity policy, according to the 65th annual Survey of Profit Sharing and 401(k) Plans by the Plan Sponsor Council of America (PSCA).

With the elevated exemption sunsetting at the end of 2025, now is an ideal time to start planning with high-net-worth clients (commonly general partners in private equity, venture capital, or hedge funds) whose compensation includes carried interest. There are many high-impact planning opportunities to consider, but those solutions take time to analyze, set up and execute properly. So, don’t let them wait until the last minute.

Most of the 90-plus provisions included in the SECURE 2.0 Act of 2022 (“Secure 2.0”, “the Act”) are aimed at preserving and enhancing the retirement savings of working Americans and improving the effectiveness of retirement plan administration for plan sponsors

On September 8, 2023, the IRS released pre-regulatory guidance concerning the requirement to capitalize and amortize specified research and experimental (SRE) expenditures under Internal Revenue Code Section 174, as revised by the 2017 Tax Cuts and Jobs Act (TCJA)

Stock compensation opens up new challenges from a GAAP (ASC 718) perspective

In my work, I encounter complex equity structures across a range of scenarios and companies. But the most common is stock based compensation for start-up companies. Whether you’re an auditor or a CFO, you need to be aware of when and how to value complex equity structures. The penalties for ignorance can be significant, including qualified or adverse audit opinions.

Joint ventures, as defined in U.S. GAAP and formed after January 1, 2025, must apply a new basis of accounting, as issued by the FASB in Accounting Standards Update (ASU) 2023-05, Business Combinations — Joint Venture Formations (Subtopic 805-60). Under the new basis of accounting, a joint venture will recognize and initially measure its assets and liabilities at the joint venture’s fair value upon formation.

A family limited partnership (FLP) is a highly customizable vehicle for generational wealth transfer. The FLP and its close cousin, the family limited liability company (FLLC), are entities that may be used in trust and estate planning to transfer family wealth efficiently across generations; to protect family assets; and to consolidate assets to achieve economies of scale related to administrative costs.