Executive's Tax & Management Report articles from December 2004

Executive's Tax & Management Report archives from December 2004

Corporate tax cuts, FSC/ETI repeal ok'd.(foreign sales corporation/extraterritorial income)
December 1, 2004... On the heels of a tax cut expected to give U.S. businesses $13 billion in tax relief over the next decade, Congress has approved another tax bill that includes nearly $140 billion in tax benefits for businesses in the next 10 years and repeals...

Limitations that weaken tax practitioner-client privilege.(Dealing With The IRS)
December 1, 2004... The role of accountants has changed within the past decade. Historically, the public and the courts perceived accountants to protect the interests of the public, creditors, stockholders, as well as clients. Tax professionals, however, are also...

Guidance issued on making contributions to HSAs.(Dealing With The IRS)(health savings accounts, Internal Revenue Service)
December 1, 2004... With the rising cost of health care, you may be looking for ways to manage your medical expenses more effectively. If you have a high-deductible health plan (HDHP), you can use a health savings account (HSA) to save for qualified medical and...

Hedging estate taxes with a GRAT.(Family Tax Planning)(Grantor Retained Annuity Trust)
December 1, 2004... We have all heard that the estate tax is to be "suspended" for one year--in 2010--after which it returns in its pre-2001 Act form. Some have called this a repeal of the estate tax, but unless Congress acts to prevent sunset of the 2001 tax law...

IRS: parking "reimbursements" are taxable income.(Compensation & Benefits)(Internal Revenue Service)
December 1, 2004... Employee reimbursements for employer-provided parking are excludible from gross income only if the employees actually incurred the parking expenses, the IRS recently announced in Rev. Rul. 2004-98 [IRB 2004-42, 664]. Case in Point XYZ...

Create a succession management plan.(Executive's Briefcase)(surveys)(Brief Article)
December 1, 2004... Despite the obvious benefits of succession management planning, a recent survey by Development Dimensions International (DDI) and CHIEF EXECUTIVE magazine found that 39 percent of the 1,200 top executives polled do not have a succession...

IRS tightens settlement guidelines.(Executive's Briefcase)(Internal Revenue Service)(Brief Article)
December 1, 2004... Taxpayers involved in certain abusive transactions will have to face stricter settlement guidelines recently established by the Appeals Division of the IRS. The guidelines apply to certain taxpayers who reported losses and deductions from lease...

Workers: "offshoring doesn't threaten my job".(Executive's Briefcase)(surveys)(Brief Article)
December 1, 2004... Although most U.S. workers say that offshoring is bad for the nation's economy, few of them are strongly concerned that the practice threatens their own jobs. A survey by Watson Wyatt (www.watsonwyatt.com) found that 85 percent of workers...

Who's eyeing the corner office?(Executive's Briefcase)(Brief Article)
December 1, 2004... Only 35 percent of executives in a recent study say they want to be CEO, compared to 47 percent in 2001. The number of executives who don't want to be CEO has doubled since 2001 (60 percent this year versus 27 percent then), according to the...

2005 vehicle certified for clean-fuel deduction.(Executive's Briefcase: Toyota Prius)(Brief Article)
December 1, 2004... The IRS has certified the 2005 Toyota Prius as being eligible for the clean-burning fuel deduction. The certification means taxpayers who purchase this vehicle new may claim a tax deduction of $2,000 on Form 1040. Individuals are allowed...

Be willing to bend.(Executive's Briefcase)(Brief Article)
December 1, 2004... You may not be able to offer big bonuses to employees this year, but you might be in a position to give them something they want even more: flexible work schedules. In a recent Accountemps (www.accountemps.com) poll, 30 percent of chief...

Does your company need a CDO?(Managing Your Business)(corporate development officer )
December 1, 2004... Increased investor scrutiny and a renewed commitment to corporate governance throughout the transaction lifecycle is prompting some organizations to add a new class of C-suite executive, the corporate development officer (CDO), according to a...