Articles
Have You Amended Your Solo 401k Plan Lately?
Have you amended your solo 401(k) plan lately or are you planning on paying penalties? IRS Rev Proc. 2007-44 requires that every 401(k) plan, including solo 401(s)s, be updated and amended at least every six years. PLANS MUST BE UPDATED EVERY 6 YEARS This six year...
Swimming in Liability: Demi Moore, Pools, and Landlord Tips
Actress Demi Moore recently discovered a dead man in her pool. This unfortunate situation caught the media’s attention and caused many to think of pool safety and liability issues. As a lawyer with many clients who own rentals in Arizona, Florida, and California and...
Avoiding State Income Tax on Retirement Plan Distributions
When a retiree begins taking distributions from a traditional IRA, 401(k), or pension plan, those distributions are taxable to the retiree under federal income tax and any applicable state income tax rules. While federal taxation cannot be avoided, state taxation may...
UMBRELLA INSURANCE POLICY OR LLC
Many real estate investors and landlords often ask whether they should use an umbrella insurance policy or an LLC to protect them from liabilities that may arise on their rental property. An LLC protects the owner of the LLC from liabilities that arise on any property...
DUE DILIGENCE TOP TEN LIST
Before you invest your hard earned savings or your self-directed IRA into a “alternative” business or real estate investment of another you need to ask some hard questions to the person or business receiving your money. Here are some tips to keep you out of legal...
Court Rules in Favor of Self-Directed IRA Real Estate Investor in Prohibited Transaction Case
A recent Bankruptcy Court decision dealt with prohibited transaction claims against a self directed IRA owner who was using their IRA to flip real estate for profit. The claims were brought by a bankruptcy trustee who argued that the protected IRA was no longer an IRA...
Using the Law to Protect Your Reputation Online
Have you given a negative review of company? Have you ever posted something unflattering about someone you didn't like? Do you own a business with a Facebook, Yelp, Google+, or Linkedin page? Well, there's no shortages of lawsuits about posts people make about...
Pet Law Basics
While I'm no "pet lawyer," I do own a 9-year-old Chihuahua and, along with other pet owners, have often looked up the laws affecting pets. For example, what happens in divorce to the family dog or cat? What if I want to return my pet to the seller? What happens to my...
FEDERAL CIRCUIT COURT SAYS NO SALARY FROM IRA/LLC TO IRA OWNER
In Ellis v. Commissioner, a Federal Appeals Court recently held that an IRA owner engaged in a prohibited transaction when he paid himself compensation from his IRA/LLC. An IRA/LLC (aka, “checkbook control IRA”), is an LLC owned by an IRA and is used primarily by real...
Who Should I List as Trustee of My Trust?
If you are establishing an estate plan, it is likely that you will have a Revocable Living Trust (“Trust”) as the primary document that outlines who will receive your assets upon your death and what conditions, if any, will be placed on those assets. As many persons...
