Another consequence of congress’s decision to rush the Tax Cut and Jobs Act of 2017 is the large number of ‘typos’ and errors in the actual statutory text. Normally, congress would pass a technical corrections bill in the aftermath of such a large piece of legislation but the political climate in the nations capital is making that much more difficult than normal. As a result, we are still finding and addressing many ‘glitches’ in the nearly two-year piece of legislation.
The must recent glitch concerns the retail sector and prevents the 100% first year expensing intended by the congress on certain property common in the restaurant and retail industries. While the IRS could have minimized the problem with new rules, the Service decided against addressing this issue effectively sending it back to congress for correction.
In the interim, taxpayers may be denied a popular tax incentive unless congress can pass corrections before taxes are due next year.
As the southwest Florida area begins preparing for “season,” I would like to take this time to remind anyone starting a new business that single member limited liability companies do not provide their member with any protection from liability. While most states do not make a distinction between single and multi-member LLC’s for purposes of liability, the Florida Supreme Court held in a case out of Miami that corporate creditors can “pierce the veil” of a single member limited liability company and collect from the member.
That said, there are a number of ways to insure that you do receive the liability protection you desire–most of which, do not raise the cost of formation–when forming a new LLC or business. From adding another member to organizing under the laws of a different jurisdiction, we can help you obtain the asset protection and piece of mind that you desire.
To learn more, visit the Wegner Law PLLC website at wegnerlawfirm.com or contact us today (phone: 239 449 9200 or email firstname.lastname@example.org)