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New Tax Rules May Affect Payments To Retiring Partners
One of the most important provisions of the American Jobs Creation Act of 2004 establishes a new regime for taxing deferred compensation. Newly created Section 409A of the Internal Revenue Code likely will affect every arrangement now in place or hereafter adopted that promises the payment of deferred compensation to current and former employees, directors and other service providers. Such an arrangement may well include a partnership's unfunded retirement program for its partners.
With designated exceptions ' a tax-qualified retirement plan or a bona fide vacation leave, sick leave, compensatory time, disability pay or death benefit plan ' Section 409A requires that, in order to avoid adverse tax consequences, all compensation deferred under any plan or arrangement must meet several strict requirements, listed below. Deferred payments that fail to meet the new requirements will become fully taxable, and will also be subject to an extra 20% tax and interest, in the taxable year the amount vests.
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Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights
How AI Has Affected PR
When we consider how the use of AI affects legal PR and communications, we have to look at it as an industrywide global phenomenon. A recent online conference provided an overview of the latest AI trends in public relations, and specifically, the impact of AI on communications. Here are some of the key points and takeaways from several of the speakers, who provided current best practices, tips, concerns and case studies.