Free webinar tomorrow on valuations for marital dissolutions
Join us for a free, action-packed, 60-minute webinar of short compelling insights into business valuations in a divorce context from leading experts.
Virtual Divorce Conference offers 1:1 video networking
Want to connect one-on-one with a valuation expert or attorney specializing in divorce matters?
Free webinar reveals divorce valuation insights
Mark your calendar for an August 27 free webinar designed as a lightning round of observations and advice about divorce valuations in today’s challenging environment.
BVU News and Trends July 2020
A monthly roundup of key developments of interest to business valuation experts.
Valuations for divorce: That was then, this is now (Part 2)
It’s a whole new ballgame for valuations in the context of marital dissolution, which is why the AAML/BVR Virtual Divorce Conference will focus on the most important issues impacted by all of the recent changes.
Stopgap for postponed National Divorce Conference
The AAML/BVR National Divorce Conference in Las Vegas has been postponed, but there are so many important issues that the AAML/BVR Virtual Divorce Conference was created.
Valuation of Small Promissory Notes
Privately held promissory notes (typically $0 to $10 million) need to be valued for gift/estate, tax, and related party transactions. However, bonds from publicly traded companies are not comparable because publicly traded companies are large, diversified, and represent much less risk. Note buyers typically discount the outstanding balance of privately held notes to yield a return of 12% to 20% depending on the collateral and other risk factors. Since corporate bonds yield around 4% to ...
Valuations for divorce: That was then, this is now
For those experts grappling with business valuations in a divorce context, practical tips and advice will be presented in what had been the AAML/BVR National Divorce Conference—but has been re-engineered as the AAML/BVR Virtual Divorce Conference.
Nelson v. Commissioner
In gift tax case, Tax Court finds donor transferred percentages in limited liability company rather than fixed dollar amounts based on language in transfer instruments; further, where transferred minority interests include elements of control, minority discount should be reduced, not eliminated.
Court Says Reduced Minority Discount Appropriate Where Minority Interest Has Elements of Control
In gift tax case, Tax Court finds donor transferred percentages in limited liability company rather than fixed dollar amounts based on language in transfer instruments; further, where transferred minority interests include elements of control, minority discount should be reduced, not eliminated.
IRS change to appraisal review sparks concern from ASA and others
The American Society of Appraisers (ASA) and 10 other appraisal organizations have sent a joint letter to the Internal Revenue Service and the Treasury Department expressing concern over a recent change to the way the IRS reviews appraisals prior to imposing a civil money penalty for valuation misstatements under IRC Section 6695A.
Easing on physical inspections begins while RICS (and others) promote data-driven property appraisals
BVWire—UK has been following the evolution of the property appraisal market as it switched to data-only valuations in response to COVID-19 (and mortgage lenders either stopped issuing new loans, or significantly reduced their maximum loan-to-value cap, effectively keeping most new buyers out of the market).
Perfect Storm: COVID-19 and 2020 Election—Unexpected Windfall for E&G Tax Planning
Insights into the impacts on the estate and gift tax area and the opportunities it presents for business valuers.
BVU News and Trends April 2020
A monthly roundup of key developments of interest to business valuation experts.
Low-cost desktop real property valuations add to mortgage problems during coronavirus
UK banks have withdrawn mortgage loans, and borrowers are not making payments.
Will BV experts see a spike in divorce business?
Yes, it’s likely if the trend in China spreads to here.
BVU News and Trends March 2020
A monthly roundup of key developments of interest to business valuation experts.
5th Circuit Upholds Tax Court’s Characterization of Interest and Discount Rulings
5th Circuit affirms Tax Court’s ruling that decedent’s transferred interest is limited partner, not an assignee, interest; appeals court says estate’s related challenge to Tax Court’s valuation reflects disagreement with characterization of interest, not value computation; valuation holds up.
Estate of Streightoff v. Commissioner (II)
5th Circuit affirms Tax Court’s ruling that decedent’s transferred interest is limited partner, not an assignee, interest; appeals court says estate’s related challenge to Tax Court’s valuation reflects disagreement with characterization of interest, not value computation; valuation holds up.
Tax Court spurns IRS’ gift tax valuation theory and methodology
In a gift tax dispute, the U.S. Tax Court recently found for the taxpayer when it rejected the unusual reasoning and methodology the Internal Revenue Service’s trial expert proposed to keep low the discounts applicable to the nonvoting membership units in two limited liability companies (LLCs).
IRS ruling on subsequent events and valuation
In a private letter ruling, the IRS says that a pending merger is to be considered in valuing a company’s stock for gift tax purposes.
Grieve v. Commissioner
In gift tax dispute, Tax Court rejects IRS expert’s valuation of noncontrolling, nonmarketable interests in two LLCs; expert proposed valuation theory and method were intended to lower opposing experts’ minority and marketability discounts but lacked support in facts, case law, or among peers.
Tax Court Rejects IRS’ Value Analysis, Finding It Assumes Additional Actions Not ‘Reasonably Probable’
In gift tax dispute, Tax Court rejects IRS expert’s valuation of noncontrolling, nonmarketable interests in two LLCs; expert proposed valuation theory and method were intended to lower opposing experts’ minority and marketability discounts but lacked support in facts, case law, or among peers.
Preliminary agenda out for 2020 AAML/BVR National Divorce Conference
Do you share one of the dirty little secrets of valuation?
Advisers urge family biz owners to sell now
Amid a booming economy and political uncertainty, wealth advisers are encouraging family-owned businesses to sell before the “party ends,” according to an article in Bloomberg.