Leveraging LLCs in Estate Planning: Entity selection, IRC 1202 exclusion, valuation discounts, and Section 754 elections and accounting rules

Micah J. Stewart | LaPorte, CPAs & Business Advisors

Micah has experience in tax planning for partnerships, S corporations, corporations, individuals, gratuitous transfers, trusts, and estates. He leads the firm’s efforts in timely legislative and regulatory guidance and presents numerous seminars to the firm’s clients and professional organizations. Micah’s engagements include business and tax planning for national and international companies and assistance with reorganization, merger, and acquisition tax issues. In addition, he is an adjunct professor at the Louisiana State University Paul M. Hebert Law Center.

Prior to joining LaPorte, Micah was an associate attorney for a large regional law firm and was also previously a manager at a Big Four accounting firm in New Orleans. Micah began his professional career in 2005 and joined LaPorte in 2011.

Cherish Van Mullem | LaPorte, CPAs & Business Advisors

Cherish joined LaPorte in 2018 where she provides tax planning, advisory, and compliance services to a variety of clients, with a focus on estate, gift, and succession planning, and on state and local, and family business tax planning. With her extensive experience, Cherish delivers advisory services to family offices on tax issues both pre- and post-transaction and consults on compliance and personal wealth issues. She represents clients in proceedings before federal, state, and local jurisdictions.

As a member of LaPorte’s Transaction Advisory Services team, Cherish helps partnerships, S corporations and closely held businesses with options on structuring transactions and operations. She also guides her clients on sales and use tax issues.

Cherish is an adjunct professor at LSU Paul M. Hebert Law Center where she teaches Income Tax I.

Robert Barnett | Capell Barnett Matalon & Schoenfeld LLP

Robert S. Barnett, JD, Masters (Taxation), CPA., is a founding partner of Capell Barnett Matalon & Schoenfeld LLP, Attorneys at Law. His practice is highly concentrated in the areas of taxation, trusts, estates, corporate and partnership law, and charitable planning. Mr. Barnett frequently assists clients in structuring financial transactions, charitable gifts and applies creative and practical solutions to tax, estate, and business planning.

Mr. Barnett serves on many professional committees and is a frequent lecturer and writer on numerous aspects of tax and business law. His articles and lectures encompass a wide variety of topics, including business and personal taxation, business succession, estate planning, real estate professional status, charitable planning, inter generational planning, utilization of the marital deduction, and partnership elections.

Mr. Barnett received his juris doctor in 1986 from Fordham University, where he graduated cum laude and was a member of the Fordham Law Review. He graduated magna cum laude from Hofstra University, where he received his Bachelor’s degree in accounting and is presently an adjunct professor in their graduate tax program. Mr. Barnett holds a Master’s degree in taxation as the recipient of the highest dean’s award. Mr. Barnett is admitted to practice law in New York, Virginia and Washington, D.C.

Session I – Leveraging LLCs in Estate Planning: Entity Selection, IRC 1202 Exclusion, and Valuation Discounts | 11:00am – 1:10pm

• Choice of entity
• Small business stock exclusion

Break | 12:00pm – 12:10pm

• General use of LLCs in estate planning

Break | 1:10pm – 1:20pm

Session II – Section 754 elections and general accounting rules for LLCs | 1:20pm – 2:20pm

• Special partnership considerations and operations
• Tax benefits of LLC structure
• § 754 elections
• Capital account book-up
• Valuation and discounts
• Review of § 736 and cases