Success Stories

Sale of a Business

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A Software Company decided to sell its business for $1.5 Million. Unfortunately, they did not consult a tax attorney prior to selling their business. As a result, there were only two methods to report the sale on the Company’s tax return due to the document's language:

(1) All Ordinary Income (subject to the top tax rate for C-Corporations of 35%); or

(2) Treat the sale as a sale of stock.

The rule regarding the sale of stock is that if you purchase and sell stock considered §1202 Small Business Stock, the gain is excluded from tax. As a result, we chose Option Number 2 and were able to save the client $525,000. 

Amending Badly Prepared Tax Returns

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A Corporate Executive came to us to review his tax return under our free tax return review program. Through a thorough discussion and a review of his previous three tax returns, we found he had stock from a business he previously was a co-owner of that had gone defunct and that he could take the stock as a capital loss. He hired us to amend his tax return and sued his former accountant. By amending his tax return, we were able to save him $8,000. 

We then did his tax return for the following year. That year, he sold stock from a stock option plan of a different business and incurred $550,000 in taxable gain. As a result of finding the bad stock from the previous year, we were able to take all the gain against the carry over of his capital loss from the previous year saving him $250,000 in tax resulting in a refund of $70,000 for the tax year.  

Estate Plan – Emergency Case

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An elderly gentleman gave us a call to see if we could expedite an estate plan for him. He had stomach cancer and didn’t have much longer to live. We met with the client in his home that day to discuss how he wanted his estate divided. Two days later we met with him again. He had become frail and could not get out of bed. We had a notary and two witnesses ready to ensure all documents were properly memorialized. After the signing ceremony was completed, he was relieved that everything was in order. That night he passed away. 

We believe in helping the most urgent of cases and take on emergency cases to ensure that families are taken care of and reduce court involvement in what should be a family concern.