A Primer on the Tax Law Issues By Stephen D. Kirkland, CPA, CMC, CFF Originally published by NACVA in QuickRead on July 6, 2023 Years ago, “golden parachute” payments were fully tax deductible by the employer if they were “ordinary and necessary” business expenses under Internal Revenue Code § 162. However, due to controversy over…
Read more
Fixed Payments May Avoid Unreasonable Compensation at Nonprofits
By Stephen D. Kirkland, CPA, CMC, CFF Originally published in QuickRead on May 4, 2022. Internal Revenue Code § 4958 imposes excise taxes on the excessive portion of compensation paid by a non-profit organization. Excise taxes must be paid by “disqualified persons” who receive unreasonable compensation as well as by the individuals who approve it.…
Read more
Ways to Improve Your Partner Compensation Plan
By Stephen D. Kirkland, CPA, CMC, CFF Originally published in The Value Examiner (January/February 2017) which is a publication of the National Association of Certified Valuators and Analysts. One key difference between successful and unsuccessful financial service firms is the way that partner compensation amounts are determined. Successful firms have strong compensation plans that help…
Read more
Compensation Issues Common in Divorce
During marital dissolution, family courts look closely at the spouses' compensation amounts for multiple reasons. One of the most common reasons is to help determine a spouse’s ability to pay alimony and other types of support. In addition, if a spouse owns an interest in a closely held business, market-based compensation amounts are often needed…
Read more
Recent Comments