In the annual “Hardball with Hitchner” session that closed the successful AICPA BV Conference, a question came up regarding the application (and courts’ acceptance) of multi-tiered discounts. The expert panel—Mark Zyla, Linda Trugman, Rob Burkett, and Bob Duffy—generally agreed that they each applied multi-tiered discounts when and where appropriate. Duffy, for instance, analyzes the various entity tiers to discern at what level the interests(s) start to lose control, marketability, etc., and values each tier accordingly. Wrapping up the subject, moderator Jim Hitchner alluded to a paper/presentation by Will Frazier—a “wonderfully written, step-by-step analysis whether tiered discounts are appropriate and if so, how to apply them.”
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