162(m) Archives - EMPLOYEE BENEFITS BLOG

What Employers Need to Know About 162(m)

by Andrew Liazos | Dec 27, 2018 | Employee Benefits, Executive Compensation

Andrew Liazos presented on 162(m) deduction limitations and transition rules at NYU’s 77th Institute on Federal Taxation. Amongst other topics, he discussed key changes for employers under the 2017 Tax Cuts and Jobs Act, the guidance provided under Notice 2018-68 and the potential impact of such changes on incentive compensation practices.

View the full presentation.

Tax Takes Video | Impacts on 162(m)

by Andrew Liazos and David Fuller | Jun 5, 2018 | Employee Benefits, Executive Compensation

Andrew Liazos and David Fuller identify the three main areas to focus on in light of 162(m) and discuss traps for the unwary.

Tax Reform Changes to Employee Compensation and Benefit Deductions

by Diane Morgenthaler | Apr 10, 2018 | Employee Benefits, Executive Compensation, Health and Welfare Plans

Partner Diane Morgenthaler presented at this year’s first Tax in the City® meeting on March 15, 2018. Below is a recap of the key takeaways from the event.

Employee Benefits impacts of federal tax reform:

Alter procedures to ensure no 2018 employer deduction is taken for qualified transportation fringe benefits, except for bicycle transportation subsidies.
Alter procedures to ensure no 2018 employer deduction is taken for “entertainment” and its related travel and meal expenses, including sporting events, theatre, golf, and other activities.
Analyze 2018 financial effect to your employer of any proposed gross ups for loss of moving expense deduction for employer and employee.
If your employer is a US publicly traded company, a foreign issuer with US publicly traded American Depository Receipts (ADRs), or a private company with US publicly traded debt, then careful legal and financial planning is recommended to try to utilize the grandfather exception to the $1M compensation deduction limit under Code section 162(m).

View full presentation.

Not Just a Tax Issue: Lawsuits Crop Up over IRS 162(m)

by Jackie Sinn | Jan 26, 2012 | Benefit Controversies, Executive Compensation

by Andrew Liazos

Proxy season is now upon us, and a key task is to evaluate whether shareholder approval is needed for any executive compensation plan. One of the typical reasons to seek shareholder approval is to qualify for tax-deduction relief under Section 162(m) of the Internal Revenue Code. By and large, seeking shareholder approval for that purpose has been viewed as a relatively routine task. However, recent shareholder derivative lawsuits suggest that public companies should take a careful look at disclosures that solicit Section 162(m) shareholder approval.

Read the full article on CFO.com.