And Chicago tax lawyer Robert E. McKenzie, who has defended rich folks claiming losses on everything from deer farms to race horses to yachts, says the Romneys -–despite the fact that Ann Romney’s statements on what dressage has done for her personally suggests lack of profit motive– likely did all the paperwork right and can assert they thought they’d make a profit, even if they never do. “The way I would argue it is `this horse competed in the Olympics and we’ll breed it and make money off the foal’,’’ says McKenzie. “When you’re that rich you can afford to have talented tax advisers.”
On September 13th, Robert E. McKenzie participated in an IRS panel on the dissolution of business partnerships and marriages.
- Hazards to preparer similar in business breakup and marriage breakup
- Circular 230 provision
- Change in filing status
- When does change take effect
- Annulment vs. divorce
- Relief from joint liability (Form 8857)
- Innocent spouse
- Separation of liability
- Protecting an ex-spouse’s share of refund (Form 8379)
Ending a Partnership
- Dissolution vs. termination
- When is partnership terminated?
- Common Issues
- Sale of partnership interest by partner
- Partnership allocations/loss limitations
- Gain/loss from distributions
- Redemption of partnership interest by partnership
- Liquidation of withdrawing or deceased partner’s interest
- Abandonment of partnership Interest
The Ethics Involved
- Your obligations to the individual partners
- Whom can (or should) you keep as clients?