Court Rejects Parties’ Expert Valuations of Unique Sailing Vessel as Unreliable
In damages case involving unique ship for which there was no active market, court says parties’ experts provided some data points relevant to valuing ship but failed to give adequate explanations of rationales and calculations, making testimony unreliable; court performs its own analysis.
In re Manhattan By Sail, Inc.
In damages case involving unique ship for which there was no active market, court says parties’ experts provided some data points relevant to valuing ship but failed to give adequate explanations of rationales and calculations, making testimony unreliable; court performs its own analysis.
‘Lockstep’ Transfers of Minority Interests Submerge—But Do Not Sink—Discounts
Contemporaneous, aggregate transfer of minority interests reduce (but don’t reverse) minority discounts.
Koblick v. Internal Revenue Service
Contemporaneous, aggregate transfer of minority interests reduce (but don’t reverse) minority discounts.
Reasonable Compensation Deduction Considered
The U.S. Tax Court determined that payments made to a controlling shareholder in 1999 and 2000, which were deducted on the company’s tax returns under sec. 162, were reasonable and deductible for the 2000 tax year but not for the 1999 tax year.