Thursday, April 28, 2016
Registration Desk Opens
- Continental Breakfast
Martin H. Brinkley, Dean, UNC School of Law
8:00 - 9:00 a.m.
How to Foul Up Drafting Partnership and Limited Liability Agreements
Terence F. Cuff, Loeb & Loeb LLP
This session will cover techniques that draftsmen can use to foul up their partnership and limited liability agreements. Including a discussion of contribution provisions, Section 704(c) provisions, allocations, and distribution provisions.
9:00- 10:00 a.m.
A Review of Federal Tax Policy in an Election Year
Jonathan G. Traub, Deloitte Tax LLP
This session is a review of recent developments in tax policy, a status update on efforts to enact comprehensive tax reform and an outline of the barriers standing in the way of policy-makers. The presenter will explore the sometimes uneasy interaction between policy and politics.
10:00 a.m. - 12:00 p.m.
Federal Income Tax Developments
Bruce A. McGovern, Vice President, Associate Dean for Academic Administration and Professor of Law, South Texas College of Law
This session will provide an examination of the legislation, court opinions and regulations and rules of the past year.
12:00 - 1:00 p.m.
Buffett Lunch (provided)
1:00 - 2:00 p.m.
A Review of the Landscape of the Federal and
State Income Taxation of Non Grantor Trusts
Andrea C. Chomakos, McGuireWoods LLP
A trust is a unique type of taxpayer. A trust is not an individual, but it is not an entity. A trust is created through the relationship of the trustee (or trustees) to the trust property and the trust beneficiaries. The provisions of the Internal Revenue Code applicable to the taxation of trusts are complex and can result in unintended and unanticipated income tax liability. In addition, for any trust that is subject to Federal income taxation, the trust may also be subject to state income taxation. A determination of whether a trust is considered a resident trust of a particular state is required to determine the trust’s state income tax liability and it is the complex relationship between trustee, trust property and trust beneficiary that makes the determination of the relationship of the trust to a state difficult in assessing where the trust has “nexus.”
2:00 - 3:15 p.m.
Transfers of Property to and Distributions and Redemptions of Stock in Closely-held Corporations
C. Wells Hall III, Nelson Mullins Riley & Scarborough
Structuring taxable and nontaxable transfers of property to closely-held C and S corporations, use of section 351 in acquisition transactions, shareholder and corporation basis determination, holding period for transferred property, tax treatment of distributions, including qualified dividend treatment, actual versus constructive distributions, distributions from S corporations with and without earnings and profits, treatment of redemptions of stock qualifying for dividend versus capital gains treatment, adjustments to basis, special elections for closing of the books, distributions bypassing AAA.
3:15 - 4:15 p.m.
Effective Tag Team Defense
David D. Aughtry, Chamberlain Hrdlicka
Almost all tax defenses constitute accounting arguments with a case law or statutory construction wrapper. We will focus upon the most effective way for accountants and lawyers to contribute to presenting the winning coordinated defense at audit, appeals and litigation.
4:15 - 5:30 p.m.
Corporate Tax Developments
Gregory N. Kidder, Steptoe & Johnson
This presentation will cover recent developments in corporate tax, including changes in IRS ruling policy, Section 355 Developments, Final “F” Reorganization Regulations, Final Regulations Under Sections 312 and 381, developments in the step transaction doctrine (including Rev. Rul. 2015-9 and Rev. Rul. 2015-10), Proposed Regulations under Treas. Reg. § 1.1502-76 (“Next Day Rule”), Final Regulations on Agent of Consolidated Group, Treas. Reg. § 1.337(d)-3T (May Company Regulations).
Friday, APRIL 29, 2016
Registration Desk Opens
- Continental Breakfast
8:00 - 10:00 a.m.
Ethical Practitioners Don't Go to Jail: Distinguishing Aggressive Tax Planning from Tax Fraud (PR/Ethics)
S. Rizek, Caplin & Drysdale and W. Curtis Elliott, Jr., Culp Elliott & Carpenter PLLC
Tax practitioners are governed by a host of rules and regulations, from Circular 230 to IRC 6694, to the criminal provisions of the Internal Revenue Code. It is important to understand how these standards apply in everyday practice. How sure do you have to be before you can tell a client it is okay to take a deduction or report income as capital gain? Do you have to audit the client’s records, or can you just rely on what the client tells you? When can the client be penalized and when are you, as the tax practitioner, subject to penalties. Finally, where is the line between civil penalties and criminal prosecution and how can you avoid crossing that line? This program will address these and other issues and will provide real-world practical advice on how to approach sensitive situations.
10:00 - 11:30 a.m.
Recent Developments in Estate Planning and Federal and State Transfer Taxation*
Sanford J. Schlesinger, Schlesinger Gannon & Lazetera
Presenter will review current developments regarding estate planning and federal and state transfer taxation, including the Internal Revenue Service’s final regulations regarding portability, the new income tax basis consistency requirements under the Surface Transportation and Veterans Health Care Choice Improvement Act of 2015, and the Service’s proposed regulations under the Achieving a Better Life Experience (“ABLE”) Act. He will discuss drafting estate planning documents to comply with and take advantage of current transfer tax laws, and transfer tax vs. income tax basis planning. The session also includes a review the Obama Administration’s current transfer tax and related income tax proposals, and how they would affect estate planning decisions if enacted.
11:30 a.m. - 12:30 p.m.
IRS Administrative Appeals and Tax Case ADR
W. Curtis Elliott, Jr., Culp Elliott & Carpenter PLLC
The Mission of IRS Appeals is to “resolve tax controversies, without litigation, on a basis which is fair and impartial to both the government and the taxpayer and in a manner that will enhance voluntary compliance and public confidence in the integrity and efficiency of the Internal Revenue Service.” With the issuance of new streamlined procedures, including rules on ex parte communications pursuant to Rev. Proc. 2012-18, IRS Appeals has adopted its “Appeals Judicial Attitude and Culture” approach in the resolution of federal tax cases (AP-08—713-03; 7/18/13). This presentation will focus on the updated Appeals procedures now in place, and will address how the new procedural rules impact the practitioner’s strategies to negotiate a settlement resolution which is effective for clients. The presentation will also look at fast track settlement procedures, treatment of cases docketed in the Tax Court and tools available to the IRS and to taxpayers in seeking alternative dispute resolution in certain cases.
12:30 - 1:30 p.m.
Buffett Lunch (provided)
1:30 - 2:45 p.m.
Elizabeth E. Drigotas, Deloitte Tax
The rules related to deductions for compensation expenses include provisions that regulate timing and amount of deductions, some resulting in timing differences and some in permanent differences. Presenter will provide an overview of the requirements applicable to different types of compensation, including current compensation, qualified and nonqualified deferred compensation, equity compensation, and fringe benefits. This session will also address compensation deductions in the context of mergers and acquisitions.
2:45 - 4:00 p.m.
Market Based Sourcing: The End of Cost of Performance?
Sheldon H. Laskin, Multistate Tax Commission
This presentation will trace the evolution of sourcing receipts derived from the sale of services and intangibles away from cost of performance towards market based sourcing. Emphasis will be on the Multistate Tax Commission’s project to amend the sourcing rules in Section 17 of the Uniform Division of Income for Tax Purposes Act (UDITPA) and the response of the states to the problems of cost of performance sourcing.
*The School of Law is greatly appreciative of the Marvin K. and Florence T. Blount Lecture, which was established in 1973 by Marvin (J.D., 1916) and Florence Blount to promote greater professional and public awareness of estate planning and tax issues.