Practical Tax Planning Under the 2017 Tax Act: How to Take Advantage of the Good and Minimize the Bad

What You Will Learn

Introduction to program

Overview of the Act

• Overview
• Effective dates and sunsets, including 2027
• Possibility of IRS guidance, regulations, corrections bill
• Where technical corrections will be helpful

Individual Provisions

• Individual provisions, including how to handle the change when the brackets reach the max
• Elimination of state and local tax deduction and limit on home mortgage interest deduction, e.g., creating more non-grantor trusts
• Increase in charitable deduction
• Suspension of deduction for alimony
• Certain self-created intangible property no longer eligible for capital gain treatment

Transfer Taxes: Part 1

• Increase in the exclusion and the planning that comes from it
• Need to use the increased exclusion as soon as possible due to:
  • Impact of potential elections in 2020, 2022 and 2024
  • Inflation
  • Potential California estate tax (The College for All Act of 2018, for which 585,000 signatures are needed by June 13 to qualify for the November, 2018 ballot)
• Use of Nevada trusts which can include the parents as beneficiaries

Transfer Taxes: Part 2

• Basis planning
• Revising existing estate plans
• Q&A

Section 199A: The 20% Qualified Business Income Deduction, Part 1

• Explanation of the statute
• Examples of specified service businesses

Section 199A: The 20% Qualified Business Income Deduction, Part 2

• Examples of non-specified service businesses
• Likelihood California will not conform
• Using a defined benefit pension plan to reduce the taxable income to $315,000 (married couple filing jointly) or $157,500 (single or married filing separate)

21% Corporate Tax Rate

• Review of “C” vs. “S” vs. LLC (partnership) taxation
• Advantages and disadvantages of “C” status
• Effective rate given California
• Examples of businesses in which “C” status is good
• Impact of IRC §531 accumulated earnings tax and IRC Section 541 personal holding company tax
• Section 1202 100% exclusion for qualified small business stock: explanation and impact
• Migrating from existing “S” corporation to a new “C” corporation, plus making the existing “S” corporation a “C” corporation
• Potential for having the new “C” corporation adopt a second defined benefit pension plan for the boss

Other Business Changes

• Business interest deduction 30% limit
• IRC §1031 like kind exchanges: impact of cost-segregation studies and impact on existing property in existing exchanges
• Net operating loss deductions
• Changes to IRC §168(k) additional allowance for certain qualified property
• Tax accounting changes for small business
• IRC §179 election to expense certain depreciable business assets
• Impact on purchase and sale of a closely-held business

Domestic Impact of International Provisions

• Includes foreign derived intangible income: reduction in the “C” corporation rate for exporters of goods and services
• Special rule for withholding tax on foreign partners’ share of effectively connected income on dispositions of partnership interests
• Changes in electing small business trusts relating to nonresident aliens

Multi-State

• Impact of new tax law on taxpayers with business in California and elsewhere
• California-based businesses doing business in other states

Testimonials

“Megan Lisa Jones was the best presenter of the whole day!” – Angy Chin

“Bruce Givner was excellent!” – Carmen Cheng, Esq.

“LaVonne Lawson was a very good leader of the program. William Norman is very knowledgeable of the material. Bruce Givner’s outline and tax articles looked good. I plan to read and study them. Lots of good estate planning ideas.”

“LaVonne Lawson was on point, practical and informative. Great presentation by Bruce Givner. Jean-Kim Wall was very clear, concise, practical and instructional.”

“Thank you, Megan, for covering and clarifying the subject matter. Great, informative, clear presentation.”

The following testimonials are from our Protecting Your Client’s Assets: Your Legal and Strategic Options program, which featured some of the same speakers and covered similar topics.

“Bruce Givner gave great innovative techniques for using exemptions under California law…Jay Adkisson was very knowledgeable about techniques that work and those that don’t…[and the] drafting of laws…Adrian Taylor was [experienced with] Cook Island laws…David Berardo was excellent [in describing] ethical, civil, and criminal risks of asset protection. [He gave] great advice to lawyers on how to protect themselves!”  – Christine C. Weiner, Esq.

“Excellent. Thank you. Your table of contents covered what I wanted…very good seminar on the subject matter [with] excellent materials and excellent speeches. I wish it was two days.” – Arthur A. Graves III, Esq.

“Excellent speaker [who] kept the audience engaged…Excellent communication by the Pincus staff ahead of time.” – Danielle Barger, Esq.

“This was an excellent program…Thank you!”

“Very, very informative. Great seminar!!!”

“Overall, very well presented…important topic.”

“[Speakers] All were great!”

The following testimonials are from our Exam Prep. Course: CA Tax Law Specialist Exam, taught by some of the faculty teaching this program as well.

“These instructors are GOOD. Best preparation course for this exam. Extremely inclusive presentation, program is awesome.” – David Hunter, Esq.

“I am appreciative of the materials and approach. I now have a game plan and approach to the exam.” – Thomas Alexander, Esq.

“The program was really well done.”

“Professor Ross is wonderful, she is extremely knowledgeable and experienced, she was very patient and answered our questions, thank you.”

“The speakers were engaging and helpful.”

Faculty

Howard S. Fisher, Esq.
Certified Legal Specialist in Taxation Law
Law Offices of Howard S. Fisher

Mr. Fisher is a member of the California Bar (Board Certified Taxation Specialist), and the Honourable Society of Lincoln’s Inn ([London, England – Student Bencher]).  He studied at the American College In Paris and received his degree from the University of Southern California in 1973.  He studied law at Southwestern University (J.D. 1976), the University of Cambridge, in England (LL.B. with honours 1977, Corpus Christi College), and completed post-graduate studies in international business and taxation at Harvard University Law School (PIL).

Mr. Fisher specializes in representing wealthy entrepreneurs and their families – his practice includes tax planning, business and commercial transactions, real estate transactions, trust/estate and business litigation and tax controversy.   Mr. Fisher is a past chair of the California State Bar’s Taxation Section, is a past chair of the Beverly Hills Bar’s Taxation Section (twice), and is Past President of the Beverly Hills Bar Association. 

Mr. Fisher has published more than twenty-five articles, and has spoken at more than 120 conferences around the world.  Additionally, Mr. Fisher is the co-author of  It Wasn’t Raining When Noah Built The Ark, a treatise on asset protection.  Mr. Fisher recently received the distinction of being named  by Super Lawyers as one of the top 100 lawyers in Southern California. 

Bruce Givner, Esq.

KFB Rice LLP

Mr. Givner has been practicing tax law for almost five decades concentrating on income tax planning, estate tax planning, sophisticated retirement plans, asset protection planning, charitable planning, capital gain planning, tax litigation, and the representation of high net worth and high income families, as well as individuals and their closely held corporations.

He is the author of close to 150 articles in professional journals. He is also the author, co-author or editor of 18 chapters in various CEB treatises.

Bruce represented the prevailing taxpayers in L&B Pipe & Supply Co., Inc. v. Commissioner, T.C. Memo 1994-187 and has been cited favorably by both the U.S. Tax Court (Judge Nims in Fujinon Optical, 76 T.C. 499 (footnote 10) and the California Court of Appeals (Judge Lui in FTB v. Safeco, 164 CA 3rd 526.  He has been AV rated by Martindale-Hubbell for 3 decades and is a SuperLawyer.

Megan Lisa Jones, Esq.

Pillsbury Winthrop Shaw Pittman LLP

Megan Lisa Jones advises individuals, family offices, investors and companies on domestic and international tax planning. Her practice includes succession planning and complex estate planning.

Previously an investment banker at a global firm with an international focus, Megan has done extensive cross border work. She has also advised startup companies and their founders, from the foundational stages to a recognition event. Megan also understands how to plan in the context of intangible assets or innovative technology. Her grasp of complex financial statements adds a level of sophistication to her practice.

Megan is an adjunct professor at Loyola Law School. She speaks and writes on tax-related topics and has written three books. An active member in the legal community, she serves in leadership roles including the planning committee of Society of Trust and Estate Practitioners’ (STEP) Los Angeles Branch and on the tax executive committees of the Los Angeles County Bar Association and Beverly Hills Bar Association, and also is a member of CalCPA’s estate planning group and the Beverly Hills Estate Planning Counsel.

Jean Kim-Wall
Director, Wealth Strategist
Merrill Lynch & Company

Jean has advised ultra‐high net worth individuals and families on wealth structuring and estate planning strategies for over seventeen years.  She also educates families about best practices for sustaining family wealth and family unity across multiple generations.

Jean joined Merrill Lynch in 2010 as a Director, Wealth Strategist in the Century City office.  Jean’s experience includes planning for estate and gift taxes, wealth preservation, philanthropy, retirement, concentrated stock diversification, stock options, and other tax minimization strategies.   

Jean first joined Bank of America through U.S. Trust in 2005, where she was a Senior Vice President of Wealth Planning Solutions in Newport Beach.  Jean was a founding member of the San Francisco site of the Wealth Planning Center of Wells Fargo Private Client Services.  She also practiced law with a focus on estate planning.  While at PricewaterhouseCoopers, Jean served as West Region leader for Personal Financial Services Software Solutions.

As a Wealth Strategist, Jean does not provide tax or legal advice in her role at Merrill Lynch. 

Jean is a frequent speaker on topics relating to estate planning. She lives in Los Angeles with her husband, son, daughter, and two rescue pugs.

LaVonne Lawson, Esq.

Law Office of LaVonne Lawson

LaVonne Lawson has a tax law practice in Los Angeles, California, where she provides counsel and representation, to businesses and individuals, in tax controversy and litigation matters.  In this capacity, she handles federal and California state income, employment, and transfer tax issues.  Her practice also includes matters involving international asset and account reporting.  She is also Of Counsel to the law firm of Albrecht & Barney, which practices in the areas of estate and gift tax law and estate planning.

Ms. Lawson is a former Senior Attorney with the Office of Chief Counsel, Internal Revenue Service, where she (1) advised revenue agents and revenue officers, (2) litigated cases in the United States Tax Court, and (3) advised and authorized Department of Justice attorneys and Assistant United States Attorneys in tax cases outside of the Tax Court.  She also previously worked with the law firm of Pillsbury Winthrop, where she she focused on issues affecting start-up companies.

Currently the President-Elect of the Beverly Hills Bar Association, Ms. Lawson has been active in a number of professional organizations.  She has recently served on the Board of Trustees of the Los Angeles County Bar Association.  She is also a former member of the State Bar of California Taxation Section Executive Committee, and a former Chair of the Tax Procedure and Litigation Committee of the State Bar of California Taxation Section.

Ms. Lawson holds a B.A. in Economics and in English from Stanford University, and a JD/MBA from the Duke University School of Law and Fuqua School of Business.  She is a great fan of jazz and choral music, major gardens, and science fiction.

William Norman, Esq.
Partner
Ord & Norman

William K. Norman is a Partner of the California tax law firm of Ord & Norman. Mr. Norman is a Certified Specialist in Taxation Law. He is admitted to practice law in the states of California and Wyoming. He serves as Chair of his firm’s Private Client and Closely Held Business Structures Department. He is also a senior member of the firm’s Tax Litigation Services Group. He has been practicing tax law for 30 years, including experience as tax staff of a big four accounting firm and tax manager of a major corporation.

In his current practice, he focuses on the counseling of clients in business transactions, cross border trade and investments, and personal wealth transfer planning. Many of his client engagements involve sophisticated choice of entity issues (including use of LLC’s, statutory trusts and IC DISCs) and development of complex restructuring plans. His clients include privately held companies and high net worth individuals especially members of multinational families. Mr. Norman received an A.B. degree in Economics from the University of California at Berkeley in 1962, a J.D. degree from the University of California in 1965 and an LL.M (in Taxation) degree from New York University in 1970. He also attended the Graduate School of Business of the University of California at Berkeley and the Stern Graduate School of Business of New York University.

In June of 2008, he was presented the Dana Latham Award for outstanding contributions to the field of tax law.

Gregory Zbylut, Esq.
Certified Legal Specialist in Taxation Law
Singer Burke Zimmer, LLP

Gregory Zbylut has been a Tax Manager with Singer Burke Zimmer, LLP since 2018. He is a Certified Public Accountant (IL) and Attorney at Law (IL & CA) with a Certification in Taxation Law (CA). He is a Martindale-Hubbell® AV-Preeminent®-rated attorney who focuses his practice on tax controversy, business transactions (including formations and dissolutions) and business litigation.

Greg’s work has repeatedly been recognized by his peers. He has been listed as a “Rising Star” (a peer-nominated distinction awarded to less than 2% of attorneys nationwide) every year since 2012, and in 2013 and 2014 was named one of Pasadena’s Top Attorneys.

Greg also participates in Bar delegations to Sacramento and Washington D.C., where he works with government officials to discuss current law from a practitioner’s perspective. Legislators have taken notice: in 2014, assembly bill 2244 (AB2244) was introduced in response to his presentation as part of the State Bar of California’s first Sacramento delegation in February 2013 (later published in the July 10, 2013 issue of State Tax Notes magazine, a Tax Analysts® publication). That presentation also led to his being invited to participate in the State Bar’s annual Eagle’s Lodge retreat, an invite-only event consisting of high-level state tax officials and private practitioners whose purpose is find solutions to tax issues affecting California taxpayers. On the federal tax side, he has traveled to Washington D.C. annually since 2012, presenting proposals on the Marketplace Fairness Act, late ‘S’ elections, and cancellation of debt.

One of Greg’s strengths is his ability to help business owners understand complex legal issues, a skill which comes from his extensive accounting background. In addition to being licensed in Illinois as a Certified Public Accountant, he spent 15 years in a variety of accounting positions for companies large and small, including Fortune 500 members Exelon and General Motors. His experience includes developing accounting structures for small companies, migration of the accounting software for a major corporation, cost reduction initiatives, budgeting and forecasting, and financial analysis. He holds an M.B.A. with an emphasis in International Business and Finance from Loyola University of Chicago’s Graduate School of Business.

Fees

Audio Course and Materials Package – Download or CD: $425

CDs: plus $10 shipping and, in CA, sales tax.

CLE Credit

This program is available for both Self-Study and Participatory CLE.*

CA General:  This program is approved for 7.5 units of general CLE in California.

CA Certified Legal Specialist:  This program is approved for 7.5 hours of Legal Specialization Credit in Taxation Law, as follows:

• 0.75 in sub-field A
• 3.25 in sub-field B
• 1.00 in sub-field G
• 1.50 in sub-field H
• 0.50 in sub-field J
• 1.00 in subfield K

This program is also approved for 7.5 hours of Legal Specialization Credit in Estate Planning, Trust & Probate Law.

This program is approved for CLE in the states listed above.  Upon request, Pincus Pro Ed will provide any information an attorney needs to support their application for CLE approval in other states other than what is listed above.

Terms and Policies

Recording policy: No audio or video recording of any program is permitted.

Seminar Cancellations: Should you be unable to attend for any reason, please inform us in writing no later than 14 days prior to the event and a credit voucher will be issued. If you prefer, a refund, less a $50 non-refundable deposit, will be issued. No refunds or credits will be given for cancellations received within 14 days of an event. However, if you notify us within 14 days of an event, and wish to convert your in-person attendance registration to an Audio CD package (with handout), we can do so. A small additional shipping charge, and sales tax in CA, will be incurred. No shipping charge is incurred for downloads. We will also issue a voucher for the amount paid if you notify us within 14 days and prefer not to have the audio recording.

Substitutions may be made at any time.

Webinars, Tele-seminars and Webcast Cancellations: Once log-in codes and passwords are issued for a webinar, tele-seminars or webcasts, a refund is not possible. If for any reason you cannot attend the event after you have received the codes, we will automatically convert your registration to an instant streaming/instant download or CD format and provide you with the information you need to access the recording after the program concludes and the recording is available.  Conversions to CD require a $8.50 shipping fee, and in CA, 9% sales tax.

Downloads/CDs/DVDs – Refund policy:

Downloads are non-returnable/non-refundable once purchased and received. Tapes, CDs and DVDs are returnable for a full refund or replacement if defective, within 90 days of purchase.

Reminder: The room temperature at hotels and other seminar locations are notoriously hard to control. Please bring a sweater or jacket in case it gets cold and/or layer as if you are going to the movies so you are comfortable.