This presentation will provide insights on the IRS, the classification process, valuation issues from the audit to the courtroom with commentary from the perspective of a valuator doing the valuation, an experienced Tax Court testifier, and an ex IRS Territory Manager. Elements of reporting writing for IRS purposes will be explored. It will touch on the lessons learned on major aspects of business valuation including family limited partnerships, discounts for lack of marketability, reasonable compensation, common errors investigated by the IRS, some tips from the US Tax Court, a review with an opinion of value approach used by IRS business valuators, and subchapter S valuation commentary.
As a result of this presentation business appraisers, CPA’s, trust managers, business owners and wealth management advisors will be able to work with clients to help them understand as practitioners and be able to take proactive actions on these issues to avoid valuation pitfalls with the IRS.
