Federal and California income taxes are pay-as-you-go, meaning taxpayers need to pay most of their tax during the year as income is earned or received. For those taxpayers who are employed by someone else, taxes are normally paid throughout the year by withholding tax from paychecks. However, for taxpayers who earn or receive income that is not subject to tax
Unless You are the Sole Shareholder of a Corporation, You Need a Shareholders’ Agreement
A shareholders’ agreement is a contract among the shareholders of a corporation (with typically the corporation also as a party) setting forth the rules by with the shareholders are to act in relation to one another and the corporation. The agreement can document key issues such as how shares can be sold, what happens if a shareholder dies, whether shareholders…
Estate Planning After Divorce
“I’m getting divorced. What happens to my estate plan?”
Someone asked me that question just recently, so I wanted to take this opportunity to highlight a few items to consider:
1. Revocation of Existing Joint Trust
You may need to revoke your existing joint Trust with your soon-to-be or now ex-spouse. Some family law attorneys include this as part of…
Estate Planning is Important for Everyone, Not Only the Wealthy
Estate planning is not only for wealthy persons. Although it is commonly believed that an estate plan is only advantageous for those who have numerous assets, it really is beneficial for anyone who wants to prepare for the future. A properly drafted and funded estate plan can save your loved ones time and money in the long run.
Nonprofit Organizations Have Been Significantly Impacted By COVID-19
The outbreak of COVID-19 in the U.S., the state and local governments’ responses to it, and the resulting impact on the general public, have significantly affected nonprofit organizations. Charitable organizations that provide food and other basic necessities and services, including those that support medical and mental health needs of the public, are facing increased demand. Nonprofit arts organizations that rely…
Disadvantaged Business Enterprise Certification Can Grow Your Business
Certification as a business owned by a socially and/or economically disadvantaged individual or group of individuals can provide a company with a competitive edge when bidding on contracts with government agencies, Fortune 500 corporations, and many other businesses that have certain set-asides.
Common certification programs include: woman-owned businesses (WBE), minority-owned businesses (MBE); veteran-owned businesses (VBE or VOSB); businesses owned by…
Guidance on Political Activities for 501(c)(3) Tax-Exempt Organizations
With an election year upon us (and the recent disruption to
activities and potential legislation due to COVID-19), it is prudent for
nonprofit 501(c)(3) organizations to review the Internal Revenue Service (IRS)
rules relating to political activities, such as lobbying to influence
legislation and endorsing specific candidates.
An organization may desire to spend funds to oppose or support certain
Reminder about Duration of UCC Financing Statements
Secretary of State’s ofﬁce is the central ﬁling ofﬁce for certain ﬁnancing
statements and other lien documents provided for in the Uniform Commercial Code.
Filing with the Secretary of State
serves to perfect a security interest in named collateral and establish
priority in case of debtor default or bankruptcy.
active duration for a ﬁnancing statement is…
New Filing Requirements for Tax-Exempt Organizations in California
First Act, enacted July 1, 2019, requires tax-exempt organizations to
electronically file information returns and related forms with the Internal
Revenue Service. The new law affects
tax-exempt organizations in tax years beginning on or after July 1, 2019.
forms are included in the mandate, including:
- Form 990, Return of
Organization Exempt from Income
Corporations Code Update re Ex Officio Directors
On September 10, 2018, Governor Brown signed a bill (AB 2557) regarding ex officio directors, which will become effective January 1, 2019.
Ex officio directors, i.e. persons serving as directors by virtue of occupying specified positions within or without the corporation, are commonly included on nonprofit boards. For example, they may include positions such as the Immediate Past Chair of…