• Cannabis & 280E – Just Because It’s Illegal Doesn’t Mean You Don’t Have to Report It

    February 28, 2019

    As states across the nation continue to legalize marijuana there is a lot of excitement, but also a lot of unanswered questions. The cannabis industry is new, it’s federally illegal, and it’s risky. But, as the saying goes “with great risk comes great reward.

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  • Three Questions for Succession

    February 20, 2019

    Baby boomers own around two-thirds of all privately held businesses in the US.  It is no secret that this generation is knocking on the door of the typical retirement age with many looking to transition their businesses and ride off into the sunset. The numbers are likely to be staggering over the next decade, with the potential transfer of wealth amounting to a number in the double digit trillions of dollars.  The transition of baby boomer businesses is something that should get more than a little bit of attention in the coming years.

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  • Will Banks get a Hit of the Cannabis Industry?

    February 14, 2019

    A subcommittee in the U.S. House of Representatives recently took up a bill that would protect banks and their employees doing business with legal cannabis enterprises.  On February 13th members of the House Financial Services Subcommittee heard testimony from representatives in the financial sector, the cannabis industry, law enforcement, and the treasurer of California in support of legislation that would make it easier for banks to work with legal cannabis businesses without fear of federal prosecution.

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  • New York State Will Not Follow the Tax Cuts & Jobs Act

    January 30, 2019

    New York State has decided to separate itself from certain personal income tax changes brought on by The Tax Cuts and Jobs Act (“TCJA”).  This will allow you to treat the items listed below the same as you would have prior to the TCJA.

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  • Valuation Issues in Marital Dissolution Part 2

    January 29, 2019

    This post is part two of a blog regarding valuation issues in divorce cases.  The first post focused on standards of value, valuation methods/approaches, and personal vs. enterprise goodwill.  As the intersection of business ownership and divorce can get very complex, there are a number of issues that should be considered.  This post explores three additional issues that can impact martial dissolution cases.

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  • Hemp Legalization

    January 23, 2019

    With the passage of the Agricultural Improvement Act of 2018, hemp is officially legal in the United States meaning that states may now apply to start producing hemp and hemp-derived products under the Department of Agriculture’s supervision. However, there are restrictions.

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  • Valuation Issues in Marital Dissolution Part 1

    Business ownership interests can be a central item of contention in divorce cases.  Oftentimes, the values of other assets are much clearer, assuming all parties have knowledge of their existence.  The value of privately held business interests are usually not as cut and dry.  It can be the case that the same business is valued differently by two separate qualified appraisers given the same information at the same time.  This fact alone lends itself to the potential for disputes to arise.  There are a number of factors in the mix in a marital dissolution case from a business valuation standpoint. 

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  • NYS Budget and Cannabis Reform

    January 22, 2019

    On January 15, 2019, NYS released its budget for fiscal year 2020. This budget includes a provision which would legalize adult recreational use of cannabis in New York State. This change would provide myriad business opportunities both to entrepreneurs interested in starting a cannabis businesses, and to existing ancillary businesses which could serve the cannabis industry.

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  • Increased Penalties and Stiffened Filing Requirements for 2018 Information Returns

    January 17, 2019

    1099 filing is here and as you may know, the IRS has many stipulations.  Recently, they have increased penalties and stiffened filing requirements.  If you fail to file a correct information return by the IRS deadline (and cannot show reasonable cause), you may be subject to penalties. 

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  • Is a Formula the Formula for Success in Buy-Sell Agreements?

    January 9, 2019

    An important piece of the buy-sell agreement is the determination of the value of the business at the time the agreement is triggered.  If a dispute arises, and an owner wants to sell her shares, it is imperative that all parties involved know how the business’ value is going to be calculated.  The easiest answer to this is a simple formula.  The buy-sell agreement can say that at the time the agreement is triggered, we take a multiple of prior year EBITDA and boom, we have our value. 

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