David E Kahen

December 18, 2008 | New York Law Journal

Elliot Pisem and David E. Kahen, members of Roberts & Holland, write that income earned under any "nonqualified deferred compensation plan" must be reported when it is no longer subject to a "substantial risk of forfeiture," even though not yet received, and is subject to a penalty tax and a penalty interest charge, unless the plan: requires that distributions may be made only at a pre-specified time or upon the occurrence of certain events, such as separation from service, disability, or a change of control of the employer; precludes the acceleration of payments under most circumstances; and requires that any "deferral election" be made only at prescribed times.

By Elliot Pisem and David E. Kahen

14 minute read

October 21, 2010 | New York Law Journal

David E. Kahen and Elliot Pisem, members of Roberts & Holland, review salient features of the final IRS regulations implementing new requirements that information concerning the adjusted basis of securities sold through a broker, and regarding whether any gain or loss from the sale is long-term or short-term, must generally be provided by the broker to the taxpayer and to the IRS.

By David E. Kahen and Elliot Pisem

11 minute read

April 15, 2010 | New York Law Journal

David E. Kahen and Elliot Pisem, members of Roberts & Holland, review a recent Seventh Circuit decision that illustrates the range of possible tax outcomes, including immediate deduction, capitalization into the cost of a tangible or intangible asset, and, possibly, no tax benefit at all, and the method of analysis generally applied by the courts that determines the appropriate treatment of the making of settlement payments by reference to a characterization of the underlying claims with respect to which the payments are made.

By David E. Kahen and Elliot Pisem

10 minute read

April 16, 2009 | New York Law Journal

David E. Kahen and Elliot Pisem, members of Roberts & Holland, review a recent case in which the Seventh Circuit concluded the compensation of the CEO of a closely held corporation was fully deductible, notwithstanding a variety of circumstances that the Tax Court had previously found justified a different result, including evidence that the CEO received much more compensation for the year at issue than the CEOs of publicly traded competitors.

By David E. Kahen and Elliot Pisem

11 minute read

August 24, 2005 | New York Law Journal

Ezra Dyckman and David E. Kahen, are members of Roberts & Holland, analyze proposed rules that will affect many everyday real estate partnership arrangements, such as the issuance to an organizer or sponsor of a real estate venture of a "carried" partnership interest providing to the sponsor an interest in partnership profits that exceeds the sponsor's initial share (if any) of partnership capital.

By Ezra Dyckman and David E. Kahen

10 minute read

June 18, 2009 | New York Law Journal

David E. Kahen, a member of the law firm of Roberts & Holland, writes that there is often reason for concern, in the context of a transfer of a business or other property to a partnership under common control with the corporate transferor, that the value of the partnership interest received by the corporation is less than the value of the property contributed.

By David E. Kahen

12 minute read

October 16, 2008 | New York Law Journal

Elliot Pisem and David E. Kahen, members of Roberts & Holland, review a recent case where a sale to one of the plaintiffs of three target companies owned by a subsidiary of the defendant resulted in litigation between the parties as to which party would ultimately bear the additional tax cost resulting from adjustments to net operating loss carryovers from pre-closing years. The result may not have been surprising, but it underscores the importance of careful drafting of the provisions of the purchase agreement that control indemnification for tax matters.

By Elliot Pisem and David E. Kahen

10 minute read

June 21, 2007 | New York Law Journal

David E. Kahen and Eliot Pisem, members of the law firm of Roberts & Holland, write that when structuring the award of equity-based compensation by a corporation to its employees, the various alternative forms of such compensation that should be considered generally include the grant of shares of stock, either without restriction or subject to restrictions on transfer and vesting; stock options and stock appreciation rights; and phantom stock. These alternatives each have their own consequences.

By David E. Kahen and Elliot Pisem

12 minute read

October 18, 2007 | New York Law Journal

David E. Kahen and Elliot Pisem, members of Roberts & Holland, write that one issue that arises with some frequency in the context of income tax audits by the Internal Revenue Service is the extent to which material in the files of the taxpayer is protected from disclosure to the Service under the work product privilege.

By David E. Kahen and Elliot Pisem

12 minute read

December 15, 2005 | New York Law Journal

David E. Kahen and Elliot Pisem, members of the law firm of Roberts & Holland, analyze the Tax Court's recent ruling in Federal Home Loan Mortgage Corporation ("FHLMC") v. Commissioner. The principal issue in the case was whether "prior approval purchase contracts" executed by Freddie Mac (the name by which the petitioner is commonly known) were, in substance, options to purchase loans.

By David E. Kahen and Elliot Pisem

10 minute read