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Tax Affecting S Corporations and Other Pass-Through Entities

Matrimonial attorneys are often confronted with equity in an S-corporation business that must be valued as a marital asset. Since S corporations and other pass-through corporate structures carry no tax obligations, should the appraiser tax affect or not?

22 minute read July 30, 2012 at 12:03 PM
By
Rob Schlegel and Penny Lutocka
Tax Affecting S Corporations and Other Pass-Through Entities

Matrimonial attorneys are often confronted with equity in an S-corporation business that must be valued as a marital asset. Among the many methods an appraiser uses to analyze value, one of the most common is an income-based analysis where anticipated future earnings of the business are translated into “value.”

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