Archive | June, 2013

Domicile – Definition Under U.S. Estate Tax Treaties

June 30, 2013  |   Posted by :   |   Domicile   |   0 Comments

In a situation where a U.S. estate tax treaty may be applicable, the same inquiry will arise with respect to the location of the decedent’s domicile. The U.S. bilateral estate tax treaties have their own rules to determine whether a foreign individual is a resident in the United States at the time of death. These […]

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Domicile – Defining Resident Status For U.S. Estate Tax Purposes

June 30, 2013  |   Posted by :   |   Domicile   |   0 Comments

Domicile The alien must also be a nonresident to avoid global U.S. estate taxation. For U.S. estate tax purposes, the term “nonresident decedent” means a person who, at the time of death, had his domicile outside the United States. (Reg. § 20.0- 1(b)(2). This regulation specifies that domicile is determined by application of the principles […]

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Domicile of Choice

June 29, 2013  |   Posted by :   |   Domicile   |   0 Comments

One who is legally capable of changing his domicile may attain a domicile of choice by simultaneously being physically present in the new location while possessing the requisite attitude of mind. (RESTATEMENT (SECOND) OF CONFLICT OF LAWS § 15 (1971). See Bell v. Bell, 326 Pa. Super. 237, 473 A.2d 1069 (1984). The court held […]

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Domicile (Generally)

June 29, 2013  |   Posted by :   |   Domicile   |   0 Comments

Domicile is a legal construct that describes the relationship the law creates between an individual and a particular locality or country. Income tax rules do not apply for estate, gift, or generation-skipping tax purposes. Whether the transfer is subject to taxation generally depends on the domicile of the donor, or decedent, at the time of […]

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Treasury Regulation Section 20.0-1 – Domicile

June 28, 2013  |   Posted by :   |   Domicile   |   0 Comments

Under Treasury Reg. Section 20.0-1(a)(b), U.S. Estate Tax is imposed on either a citizen of the U.S. or an Estate Tax Resident (i.e., a “resident” decedent is a decedent who at the time of his death, had his domicile in the U.S.) Treasury Regulations Section 20.0-1 (b) SCOPE OF REGULATIONS (1) ESTATES OF CITIZENS OR […]

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Definition of Residence for California Income Tax Purposes

June 28, 2013  |   Posted by :   |   Domicile   |   0 Comments

A. Taxation of California Residents and Nonresidents 1. California residents are subject to California income taxation on their worldwide business and non-business income. The California tax on taxable income is a graduated tax ranging from 0% to 10.3% (imposed on income in excess of $1 million). 2. Nonresidents are only subject to California income taxation […]

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IRS Circular 230 – Requirements for Covered Opinions

June 27, 2013  |   Posted by :   |   Circular 230   |   0 Comments

Sec. 10.35: Requirements for Covered Opinions Sec. 10.35(a): A tax practitioner who provides a “covered opinion” shall comply with the standards of practice under Sec. 10.35. Sec. 10.35(b)(2)(i): A “Covered Opinion” is written advice on one or more federal tax issues, arising from: (A) A transaction, that at the time the advice is rendered, the […]

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IRS Circular 230 – Marketed Opinions

June 27, 2013  |   Posted by :   |   Circular 230   |   0 Comments

Sec. 10.35: Covered Opinions “Marketed Opinions” Under the 10.35(c)(iv), a “Marketed Opinion” must provide the practitioner’s conclusion that the taxpayer will prevail on the merits at a confidence level of at least more likely than not with respect to each significant federal tax issue. If the practitioner is unable to reach a more likely than […]

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IRS Form W-9

June 26, 2013  |   Posted by :   |   International Tax Planning   |   0 Comments

IRS Form W-9 is used by a person who files information returns with the IRS to report transactions.  A U.S. Person (including a resident alien) provides their current Taxpayer Identification Number to the person requesting it (“The Requestor”). Summary The Requestor uses the U.S. Person’s Taxpayer Identification Number (“TIN”) to report: 1. Income Paid (to […]

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IRS Circular 230 – Return of Client’s Records

June 26, 2013  |   Posted by :   |   Circular 230   |   0 Comments

Sec. 10.28 Return of Client’s Records (a) A practitioner must, at the request of a client, promptly return all records of the client, that are necessary for the client to comply with their federal tax obligations. The practitioner may retain copies of the records returned to a client. The existence of a dispute over fees […]

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