Alternatives to Divorce in Los Angeles

The process of getting married is relatively fast.  Most would agree that getting divorced is not.  It takes at least six months in California when the divorce is uncontested.  The process is longer when there are complex financial issues.  There are two common disagreements.  The parties often disagree with the community’s interest in the marital…

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Is More Moore-Marsden Work More Persuasive?

I recently spoke with a potential client.  She was on her second family law attorney.  Her divorce forensic CPA already charged her $5,000.  He wanted another $5,000 to finish the task.  It was a Moore-Marsden calculation.  He hadn’t produced anything.  She needed him to trace all her separate property funds for real estate she purchased…

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Divorce Forensic CPA as a Mediator

The process of divorce can be complex and expensive. After so many years together, choosing to part ways is complicated when dividing a house once owned separately (and now owned jointly) and a business owned before marriage that appreciated during your lives as husband and wife. When divorce is imminent (or contemplated), the first thing…

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Taxation on Property Transfers (IRC §1041)

The transfer of property that is not a gift is generally a taxable event requiring the transferor to recognize a gain or loss on the difference between its fair market value and adjusted basis. Prior to 1984, tax regulations required that appreciated property transferred to a non-transferor (receiving) spouse incident to a divorce result in…

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Intangible Assets (2 of 2)

In the first intangible assets article, we discussed the “economic phenomena” of intangible assets and the tests for its economic value and legal existence. These tests, if passed, may indicate the existence of identifiable intangible assets. Intangible assets have two general categories: real and personal property. Intangible real property includes fractional ownership interests in real…

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Royalties

Royalties for licensing intellectual property (IP) such as patents and trademarks are paid to licensors by licensees. The licensors, among other reasons, enter into licensing agreements when they do not have the capital to commercially exploit their patents. In exchange for licensors substantially conveying the rights to their patent, the licensees usually agree to exclusively…

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Bankruptcy Risk Planning: The Z-Score

Bankruptcy occurs when a company is unable to meet maturing financial obligations and petitions a Federal court either for liquidation (Chapter 7) of its assets or reorganization (Chapter 11) of its debts. A company generally receives debt relief in Federal court if it is unable to liquidate its debts as they come due by transferring its assets…

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