Issues regarding gain or loss upon the sale of stock are common issues faced by a Denver tax attorney or business attorney at The McGuire Law Firm.  A recent United States Tax Court case dealt with gain recognition when a taxpayer was relieved of debt through court proceedings.  The Tax Court agreed with the IRS...Read More

“So, we’ll take step one, and then step two and then step three and then pay no tax!?  Wow, that’s great, we should have been doing this for years!”  Maybe you have heard these words, or even said these words.  With all the current tax law, tax attorneys, CPAs, accountants and others have found loopholes...Read More

Many clients consult their tax attorney or business attorney about establishing an agreement with third parties or employees whereby the individual would receive a profits only interest in the business.  In a typical profits only interest, the employee or a third party service provider receives a grant of a certain percentage of the business profits. ...Read More

When a corporation liquidates, what happens to the corporate debt?  This is a common question many of our clients will ask a tax attorney or business attorney at The McGuire Law Firm.  Our answer is usually, “it depends.”  While this is a typical (and maybe expected) answer from an attorney, it is correct.  The article...Read More

The Form Over Substance Doctrine is a doctrine finding its foundation on equity principals.  Tax attorneys have seen the Internal Revenue Service (and courts) use the Form Over Substance Doctrine as a means by which to “attack” certain transactions.  Tax attorneys may have represented taxpayers in matters before the IRS when the IRS was attempting...Read More

For many reasons tax attorneys and business attorneys may think it desirable to keep real estate out of a corporation.  The transfer or sale of assets, such as appreciated assets from a C Corporation leads to double taxation issues that are not found when the real estate is owned by individuals or a partnership.  Even...Read More

Business owners may have heard about economic substance from their business attorneys or tax attorneys.  The Economic Substance Doctrine is a “test” by which the Internal Revenue Service will review certain transactions.  As a Denver tax attorney John McGuire has dealt with the Economic Substance Doctrine first hand for a number of clients and this...Read More

As a tax attorney and business attorney, John McGuire frequently works with a partner within a partnership who contributes property to a partnership such as an LLC and the partnership assumes the liability on the property.  When this occurs, a tax attorney will advise the contributing partner that their basis is decreased by the sum...Read More

The 752 Regulations are used in determining a partner’s economic risk of loss for partnership debt.  These regulations apply a test to determine economic risk of loss by reviewing what the economic consequences would be to each partner if the partnership liquidated.  Thus, the partners risk is examined as if the partnership went through a...Read More

Recourse and Nonrecourse Debt in an LLC  As a tax attorney and business attorney, John McGuire of The McGuire Law Firm works with partnerships regarding the impact of partnership debt and the impact of recourse and nonrecourse debt.  The article below outlines law to consider regarding partnership debt.  If you have a question regarding partnership...Read More