Matter of Digeser v. Flach A New York statutory fair value decision involving a construction company highlighted key differences in the experts’ income-based valuations. The parties’ appraisers disagreed over the applicable earnings period, normalization for non-arm’s-length dealings between related companies, and the applicable tax rate. The court’s resolution provides insight into what arguments did and  Continue Reading »

Bitcoin has been around for almost 10 years. But the tax rules associated with “virtual currency” are constantly evolving. In 2018, tax matters will become even more complicated for because relevant provisions of the Tax Cuts and Jobs Act take effect starting in 2018. This is what you should know about the brave (relatively) new world  Continue Reading »

Step carefully when employees request time off under the Family and Medical Leave Act (FMLA). The FMLA is a minefield in a number of ways, including how eligibility for leave should be documented. According to the Department of Labor, an employee qualifies for time off under FMLA if a serious condition makes them “unable to  Continue Reading »

Thanks to a pilot program from the Department of Labor’s Wage and Hour Division (WHD), eligible employers may now be able to conduct a self-audit of certain wage practices. This program — called Payroll Audit Independent Determination (PAID) — was launched recently to enable employers to uncover payroll errors on their own. Employers who use the PAID  Continue Reading »

The U.S. Supreme Court recently ruled that service advisors at car dealerships, whose jobs included selling repair and maintenance services, are not eligible to receive overtime. According to the Court, they’re covered by the provision in the Fair Labor Standards Act (FLSA) that exempts any salesman, parts man, or mechanic who is primarily engaged in selling  Continue Reading »

The Tax Cuts and Jobs Act (TCJA) introduced a flat 21% federal income tax rate for C corporations for the 2018 tax years and beyond. Previously, profitable C corporations paid up to 35%. This news has caused many business owners in Maine and elsewhere to ask: What is the best choice of entity for my start-up  Continue Reading »

Buy-sell agreements protect businesses with multiple owners in the event that one of the owners dies, becomes disabled, or voluntarily decides to leave the company. The agreement should dictate who can buy the departing owner’s interest, when, how and for how much. Ideally, these contracts are set up when a business is launched, but they can always be  Continue Reading »

Merion Capital L.P. v. Lender Processing Servs., 2016 Del. Ch. LEXIS 189 (Dec. 16, 2016) The adage is that the Delaware Court of Chancery has a bias toward the discounted cash flow analysis when determining fair value in statutory appraisal actions. Yet, in the past few years, the court repeatedly has adopted the deal price,  Continue Reading »

The first-year depreciation deductions for vehicles used more than 50% for business purposes has been expanded by the Tax Cuts and Jobs Act (TCJA). Here’s what Maine small business owners need to know to take advantage. Depreciation Allowances for Passenger Vehicles The TCJA dramatically and permanently increases the so-called “luxury auto” depreciation allowances for new  Continue Reading »

You are not alone if you have been confused about the federal income tax rates on capital gains and dividends under the Tax Cuts and Jobs Act (TCJA). Here’s what you should know if you plan to sell long-term investments or expect to receive dividend payments from your investments. Old Rules Prior to the TCJA, individual  Continue Reading »