September 2015

A gift tax rule of thumb, small business stock ownership requirements, and more in this issue of Business News Digest

4 min

Venable attorneys produce periodic alerts and newsletters covering a variety of topics and practice areas. For your convenience, we have assembled below a collection of the latest alerts and newsletters from August 2015.

Potential Elimination of Discounts on Transfers to Family Members

The window of opportunity to benefit from valuation discounts when transferring assets to family members may be closing very soon. Representatives of the U.S. Treasury Department and Internal Revenue Service have suggested that new Proposed Regulations will be issued as early as this month to curb or eliminate the availability of such discounts on intra-family transfers. Venable attorneys Jeanne L. Newlon, A. Christopher Sega, Stefan F. Tucker, Elizabeth R. Glasgow, Sarah H. B. Kahl, and Nicholas C. Guerra write in a recent client alert that the extent, timing, and even validity of these Proposed Regulations are uncertain.

Read the alert to learn more about the Proposed Regulations.

To Gift or Not to Gift: That Is the Question

For many years, the general rule of thumb in estate planning has been that an individual should gift assets during his or her lifetime. Lifetime gifting can offer many benefits, writes Venable attorney Stacey Delich-Gould. Most significantly, any future appreciation in the gifted asset is removed from the estate.

Continue reading for more information on the narrowing gap between estate and gift tax rates.

When Is One Pie Actually Two Pies?

The Court of Federal Claims Upholds the Small Business Administration's Hardline Approach to Small Business Stock Ownership Requirements

Small business owners holding specific classes or series of stock in their companies should be aware that issuance of more than one class or series of stock could affect whether they meet the "ownership" requirements for purposes of small business contracting program eligibility, write Venable attorneys Keir X. Bancroft, John A. Wilhelm, and Nathaniel S. Canfield.

The United States Court of Federal Claims recently issued a bid protest opinion regarding the ownership requirements for a service-disabled veteran-owned (SDVO) small business with an employee stock ownership plan (ESOP).

Read the client alert for the implications not only for SDVO small businesses, but also for other classes of small businesses with similar ownership requirements.

Click to read the Precise Systems, Inc. v. United States opinion.

Additional Articles:

Avoiding FDA Consent Decrees: Address Adverse Inspection Findings and Warning Letters

CA Agency to Initiate Rulemaking to Update Proposition 65 "Safe Harbor" Level for Lead

Court Ruling Spells End of Overtime Exemption for Home Healthcare Companies

Fair Pay and Safe Workplaces Proposed Rulemakings: Time Remains for Comments

First Amendment Protects Certain Truthful, Non-Misleading Statements about Off-Label Drug Uses

Issue Resolved: The Second Circuit Gives a Thumbs-Down to Private Settlements of Federal Wage and Hour Claims

Report and Return: Diligence Is Key

Upcoming Events:

"Migration to the Cloud: Challenges & Vulnerabilities | Opportunities & Solutions" at the GovConnects Cyber 6.0 Conference – Laurel, MD

Thursday, September 10, 2015 | 8:00 a.m. – 6:00 p.m. ET

Venable attorneys Keir Bancroft, Dismas Locaria, and Ryan Sweigard will participate in GovConnects' upcoming Cyber 6.0 Conference. This year's conference is titled Migration to the Cloud: Challenges & Vulnerabilities | Opportunities & Solutions. The conference will feature a morning keynote address from William Arbaugh, President and CTO, Five Directions, and an afternoon keynote address from LTG(R) Rhett Hernandez, West Point Cyber Chair, Army Cyber Institute.

Visit the Cyber 6.0 Conference webpage for more information or to register for a time slot.

LockSource Networking Program at Venable LLP – New York, NY

Wednesday, October 21, 2015 | 9:00 a.m. – 5:00 p.m. ET

Venable is co-sponsoring this invitation-only program supporting private equity deal flow and origination, with middle-market private equity firms and family offices who will meet for 30-45 minutes, speed dating style, with investment bankers to discuss deal sourcing and share current opportunities in the market.

Details coming soon! Please contact Chuck Morton or Michael Manley for more information.