The number of businesses in the United States that include at least one partnership (or limited liability company (“LLC”) taxed as a partnership) in their ownership structure has exploded since LLCs became popular in the 1990s1.It is safe to say, however, that very few of the owners of those businesses understand the way in which …

In 2014, the IRS began an audit initiative specifically aimed at nonqualified deferred compensation (“NQDC”) compliance under Section 409A. Then in June of this year, presumably based at least in part on common areas of non-compliance identified through the initiative, the IRS issued Section 409A Audit Guidelines for its agents. As a result, it is now more likely that employment tax audits will include a review of NQDC arrangements, making this an excellent time to review those arrangements. In many cases, Section 409A documentation and operational problems can be corrected, thereby avoiding significant tax consequences, provided the problems are identified in time.

In a change that will be very important to entrepreneurs and businesses located in New Hampshire, on January 1, 2016, New Hampshire’s existing securities law will be repealed and replaced by a much more modern statute based on the 2002 Revised Uniform Securities Act. The new statute eliminates a number of confusing, non-uniform and unnecessary requirements under the old statute, such as issuer-dealer licensure and various private offering restrictions, and increases certain investor protections in areas that regulators have found to be of concern, including by provisions limiting the capital raising activities of persons who have had certain disciplinary or legal problems in the past.

China presents potentially unique opportunities for American businesses of all sizes hoping to expand their production or exports overseas. United States exports to China have increased over 500 percent since China joined the World Trade Organization in 2001, and China’s economy as a whole has grown at a rate above 7% per year. With these gigantic opportunities come challenges. This article seeks to assist businesses doing or hoping to do business with China by pointing out areas of concern and a few tested solutions.

On May 27, 2015, U.S. Citizenship and Immigration Services published new guidance concerning when an H-1B employer is required to file an amendment petition in connection with a change in the worksite(s) of its H-1B employees. This guidance represents a stark departure from previous USCIS guidance on the issue. H-1B employers, who have until August 17, 2015 to take advantage of the safe harbor, should carefully review their files and determine if an amendment is needed to maintain compliance and avoid revocation and penalties.

As expected, on July 13, 2014, the Massachusetts Tax Amnesty Program was signed into law by Governor Deval Patrick, and on August 28th the Massachusetts Department of Revenue (the “DOR”) issued a corresponding Technical Information Release and Frequently Asked Questions providing details on the program.

Companies looking to “give back” to their communities have never had as many options as they have today. According to a recent study, 64% of the companies surveyed contributed more to charitable causes in 2013 than in 2010. Many companies, large and small, public and private, incorporate philanthropy into their operations. We know from our own client base that corporate philanthropy is a staple of business life in New England and other parts of the U.S.

Massachusetts is on track to implement a limited tax amnesty program during the upcoming July 2014 through June 2015 fiscal year. Under the proposed program, businesses owing certain back taxes such as sales and use taxes, meals taxes, withholding taxes, and room occupancy taxes may be eligible to pay those taxes without being subject to any penalties. Not all taxes, however, are eligible for the tax amnesty program. Most notably, income taxes and income tax returns are not currently included in the list of eligible taxes.

Commercial leases contain many traps for the unwary. From subleasing restrictions to hidden maintenance fees, a commercial tenant can easily find itself caught in an unfavorable, costly lease. Being aware of these traps and negotiating a lease with counsel will help prospective tenants avoid unexpected costs down the road.

All clients need estate planning and periodic checks of their plans. The New Hampshire legislature passed three laws in its 2013 session that affect probate administration, advance directives, and long term care which affect New Hampshire clients and are of interest. This article summarizes those developments.

While some might view the bribing of foreign government officials to secure business as a necessary evil, US law views such payments as detrimental to public confidence and generally destructive to international trade. As more and more US businesses engage in overseas trade, the chances of US businesses bumping up against the US Foreign Corrupt Practices Act are increasing. The sanctions for noncompliance can be severe. Equally severe are the costs of fending off a government investigation into your company’s business practices. A robust FCPA compliance program may be your best investment.

The first phase of the political tussle over the “fiscal cliff” primarily concerned deficit and stimulus measures. However, it resulted in some favorable tax law changes too. This article describes those changes that are most likely to be relevant to business taxpayers.