Gifting in 2010 – Planning for Terminally Ill Clients

  • July 29, 2010

It appears unlikely that Congress will pass any transfer tax reform in 2010. As a result, 2010 could be the best of times for gifting by affluent clients. Part I of this article on gifting in 2010 by noted author and planning expert John J. Scroggin considered the multiple factors that encourage making gifts this year. Part II covered select gift planning opportunities available this year. Part III of the article, below, covers 2010 strategies and planning for terminally ill clients.

Ranked as Top Firm for Asset Management

  • July 20, 2010

The Whitlock Company is pleased to announce that we have again ranked amongst the the nation's top firms, according to Accounting Today. Based on assets under management, we rank 111 out of thousands of firms operating in the United States. We are proud of the faith our clients place in us, and grateful for our exceptional, dedicated staff.

Commercial Lending: Are Your Borrowers Testing for Goodwill Impairment?

  • July 9, 2010

When a company is sold for more than net book value, this results in an accounting concept known as goodwill. If you are relying on reviewed or audited financial statements from borrowers, you should be aware of their obligation to test for goodwill impairment. Once a year, these companies are required to screen for potential impairment, measure the amount of impairment (if any exists), and adjust the value of intangible assets (like goodwill) to reflect current economic realities. If testing reveals that the value of goodwill on the borrower’s books has been impaired (or, in other words, has declined), the company is required to write off this amount to its current fair market value. Note that the value of goodwill can only be written down, not up.

Commercial Lending: Monitoring Government Guaranteed Loans

  • July 9, 2010

A primary cause of concern among many banks today is the high rate of default on government agency guaranteed small business loans like Small Business Administration (SBA), Farm Services Administration (FSA) and Farmers Home Administration (FMHA) loans. In the good ’ol days, when these loans hit 90 days past due, the bank simply filed a claim, sent the government agency the credit file and the agency took it from there. Now, the agencies expect lenders to work out the credits themselves before filing claims. And for claims filed, the agencies expect documented evidence of lender due diligence in every aspect of loan origination and monitoring before they will honor their guarantee.

Commercial Lending: Managing and Mitigating Portfolio Risk

  • July 9, 2010

What a difference time makes. Three years ago, most banks were enjoying low levels of past-due accounts, criticized/classified loans and losses in their small business portfolios. Then came the recession and the financial crisis, which led to record losses and the subsequent failure of many banks.

2Q Update: Important Tax Developments

  • July 8, 2010

The following is a summary of the most important tax developments that have occurred in the past three months that may affect you, your family, your investments or your business.

IRS Releases Guidance for Grandfathering of Health Insurance Plans

  • July 2, 2010

The IRS has issued temporary and proposed guidance under which health insurance plans will be treated as grandfathered under the Patient Protection and Affordable Care Act (PPACA). Plans that are not grandfathered or that lose their grandfathered status will be subject to new shared responsibility requirements for employers after 2013. The IRS also provided the notice requirements that grandfathered plans must give to participants and beneficiaries.

FAQ: Can I Deduct the Cost Incurred Doing Charitable Work?

  • July 2, 2010

Q. I spend 20 hours every week cooking meals and delivering them to an organization that feeds the hungry and homeless. Am I entitled to a deduction for my time and the food I pay for out of my own money?

Brace Yourself for a Sea of Change in the Tax Law

  • July 2, 2010

A number of tax law changes are making their way through Congress, and many more on the way. These changes will affect both individual and business taxpayers alike. In 2010, it is expected that Congress will address the federal estate tax, and is currently working on small business and jobs "relief," as well as an extension of popular, but temporary tax incentives that expired at the end of 2009. This article provides a brief overview of what taxpayers can expect this year.