| Relief From Retirement Plan Rollover Time Requirements |
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| Under the Internal Revenue Code, a taxpayer is entitled to withdraw assets from one qualified employer retirement plan or traditional Individual Retirement Arrangement (IRA) and place them in another qualified plan so long as the transfer occurs within 60 days of the taxpayer's receipt of the distribution. The Internal Revenue Service and various courts have stringently enforced the 60-day rule even when it was clear that the taxpayer intended to completed the rollover and acted in good faith but that the failure to complete the transfer was beyond his or her control. More... |
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| Federal Taxation of Workers' Compensation Income |
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| Generally, gross income received by an individual is taxable by the federal government. A notable exception is for workers' compensation income. Workers' compensation, either received by the injured worker or his survivors, is completely exempt from federal taxation as long as it is paid under a Workers' Compensation Act or a statute that operates in the nature of a Workers' Compensation Act by providing income for injuries or illness suffered in the course of the worker's employment. Basically, the statute must restrict the payment of benefits to work-related disabilities. More... |
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| Bartering |
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| The fair market value of the value of the goods and services exchanged must be included in the gross income of both parties. More... |
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| Excessive Compensation of Officers by Tax-exempt Organizations |
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| The Internal Revenue Service is concerned that some charities and private foundations are abusing their tax-exempt status by paying exorbitant compensation to their officers and other insiders. In an attempt to identify and combat this abuse, the IRS has established the Tax Exempt Compensation Enforcement Project, which seeks to gather information from almost 2,000 organizations about their compensation practices and procedures. The enforcement project consists of examinations as well as other contacts. More... |
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| Basis of Stock in an S Corporation |
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| In a C corporation, a shareholder's basis in his or her stock is generally its cost. However, in an S corporation, items of income taxed to shareholders increase their basis, while distributions decrease their basis. More... |
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