Family Succession Planning: Valuation & Discount Strategies (Completed)

Date: Thursday, May 31, 2012
Instructor: Owen G. Fiore
Begin Time:  12:00pm Pacific Time
1:00pm Mountain Time
2:00pm Central Time
3:00pm Eastern Time
CPE Credit:  2 hours for CPAs
2 hours Income Tax Planning for CFP

Valuation is a core concept in taxation, as it is used in many instances to determine both income and transfer tax consequences of a wide variety of property and business transfers. Many disputes with IRS have occurred over what is "Fair Market Value", and especially family transactions are subject to "close scrutiny".

With over 100 pages of text and slides, a bibliography of resources, and real client case studies, participants in this course will receive a hands-on experience and be able to use valuation planning with their clients. How to work with business valuation appraisers is a key element of the course. In addition, "special valuation rules", such as IRC Secs. 2701-2704 and the uses of AFR interest rates, will be discussed. Proposed legislation on valuation discount rules will be analyzed.

Who Should Attend
CPAs, CFPs and other tax professionals.

Topics Covered

  • Valuation of a wide variety of transfers and transactions
  • Deductibility of compensation
  • Conservation easements
  • Deductibility of rent
  • Charitable contributions of non-marketable assets
  • Non-public securities such as closely held corporation stock, FLP and LLC interests
  • Value of contingent claims.

Learning Objectives

  • Apply basic principles of valuation for tax planning and reporting purposes.
  • Identify valuation issues in structuring and documenting property and entity equity interest transfers within the family or involving key non-family employees of the business.
  • Use the "special valuation rules" of Chapter 14 (IRC Secs. 2701-2704) and IRC Sec. 7872 (AFR minimum interest rates).
  • Develop an approach to Buy-Sell Agreements that works under IRC Sec. 2703.
  • Apply tax valuation principles and procedures to equity transfers in closely-held businesses.
  • Understand planning lessons from review of valuation court decisions, IRS rulings, Treasury Regulations and Appeals guidelines on valuation cases.


Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites

Advance Preparation

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