Lee v. Argent Trust Co. The private plaintiff alleged a number of violations by the ESOP trustee and other defendants. The plaintiff maintained the trustee participated in a prohibited transaction and breached its fiduciary duties. By the plaintiff’s calculation, the ESOP overpaid for company stock. The district court dismissed the suit and, in so doing,  Continue Reading »

If you’re a business owner here in Maine, the new year comes with new payroll rules. Here are five of the most significant changes for 2020: 1. Significant revisions have been made to Form W-4 The IRS has redesigned Form W-4 for this year to reflect changes from the Tax Cut and Jobs Act (TCJA)  Continue Reading »

Remy v. Lubbock Nat’l Bank A fairly routine ESOP case that is being litigated in the 4th Circuit has raised a novel legal issue in this jurisdiction as to the financial liability of co-fiduciaries and nonfiduciaries, including the ESOP appraiser. The plaintiffs in the main case sued the defendant, Lubbock National Bank (Lubbock), over its  Continue Reading »

Maine has seen an increase in startups and technology-based companies, especially around the Portland area. Many — if not most — went through a process that included designs, models and patents that helped bring their respective idea to market. For a long time, those self-created intangible assets qualified as capital assets, and, thusly, qualified for  Continue Reading »

County of Maricopa v. Office Depot Inc. Several sessions at the recent AICPA conference in Las Vegas highlighted the importance of expert discovery in litigation and noted that draft reports continue to be a hot-button issue. A recent contract dispute, litigated in federal court, in which the defendant tried to exclude the opposing expert for  Continue Reading »

There are many perks of working from home, including the tax deduction available to many taxpayers who have a home office. However, the Tax Cuts and Jobs Act (TCJA) has effectively eliminated the long-standing home office deduction through 2025. But if you are self-employed, there are still some deductions you may be able to take  Continue Reading »

Amazon.com, Inc. v. Commissioner The 9th Circuit recently affirmed the U.S. Tax Court’s 2017 decision in favor of Amazon in this key transfer pricing case, finding the governing regulations limited the definition of “intangible” to independently transferable assets. This interpretation supported the Tax Court’s favoring the comparable uncontrolled transaction (CUT) method over the discounted cash  Continue Reading »

With unemployment at record lows — both here in Maine and across the nation — retaining and attracting employees is a high priority for many business owners. So as the year winds down and you look ahead to 2020, one way you can address this issue is by improving your employee benefits, which may include  Continue Reading »

Acosta v. Wilmington Trust In this ESOP litigation, both parties tried to exclude the opposing side’s valuation expert testimony under Rule 702 and Daubert. The court noted that, at this stage in the proceedings, its focus was on whether the experts applied reliable principles and methods, not on the experts’ conclusions. This case serves as  Continue Reading »

It’s not uncommon for folks here in Portland and all across Maine to be self-employed. Those who are probably pay the self-employment (SE) tax. But people who do the occasional odd job or only collect income for one-off circumstances may not have to pay the SE tax. If this type of work applies to you,  Continue Reading »