The Tax Cuts and Jobs Act of 2017 H.R.1 There was a flurry of activity within the valuation community following passage of the Tax Cuts and Jobs Act of 2017 (TCJA) and several complicated tax calculation models were unveiled. While we acknowledge the TCJA is beginning to show a noticeable impact on the level of our value conclusions, how much of an impact ought it really have on the way we perform our work? ...

Challenging and Defending Compensation and Use of the Independent Investor Test C corporations and S corporations should pay shareholder/executive compensation based on the fair market value of the executive services rendered—or risk being audited and possibly penalized by the Internal Revenue Service. Forensic analysts can help companies determine reasonable shareholder/executive compensation using free or ...

Negotiating, Structuring, and Reaping the Reward The authors share their views on what business owners should consider doing in anticipation of selling their business. The authors also share structuring considerations to close the transaction and reap the reward. ...

Calculating appropriate goodwill can create significant savings to a taxpayer.  Lucas M. Parris, senior member of Mercer Capital’s Financial Reporting Valuation Group, describes the existence of personal goodwill apart from corporate goodwill. To read more about the results of this report in the Mercer Capital's Financial Reporting Blog, click: An Overview of Personal Goodwill. This article is republished f ...

A frequently missed opportunity for appraisers This article provides an overview of some of the complex rules relating to the built-in gains tax. It is intended only to acquaint business valuators with the structure of the tax and some of the key considerations which the business valuator must address. ...