A divorcing couple in today’s day and age may be asked to
give up more than just their money, cars, TVs or the kids. They may be ordered
to hand over their social networking passwords, as well. At the end of
September, Judge Kenneth Shluger ordered that the attorneys for Stephen and
Courtney Gallion, a soon-to-be divorced couple from Connecticut, exchange
“their client’s Facebook and dating website passwords.” [Read more…] about Divorcing Couple Ordered to Swap Facebook Passwords
NJ Tax Refund for Madoff Victims’ Phantom Income
A New Jersey Tax court has ruled that investors in Bernard
Madoff’s Ponzi scheme are entitled to refunds on state taxes paid for gains
that never existed. John and Cathy Dalton, a Middletown couple who invested
nearly $700,000 with Madoff, filed amended New Jersey returns for 2005, 2006
and 2007. They had paid taxes on more than $206,000 in capital gains and almost
$37,000 in dividends that proved to be fictitious. They recalculated the taxes
payable, and requested a $5,026 refund. On October 1, 2009, the Division of
Taxation denied the refund, despite the fact that the capital gains and
dividends were non-existent. Their argument was that since the Daltons had withdrawn a portion of their investment in [Read more…] about NJ Tax Refund for Madoff Victims’ Phantom Income
Choose Your Joint Account Holders Wisely
Before adding a joint account holder to your account, it would be wise to read about this recent New Jersey case which illustrates the risks involved when adding someone, even a close family member, to your account.
In Coiro v. Wachovia, 11-cv-3587, the recently widowed Josephine Coiro added her daughter to her checking account so the money could be accessed even if she became ill or would be unable to act. In April 2010, she sold her home and deposited the proceeds of $381,272 in the account. Five days later, her daughter filed Chapter 7 bankruptcy. Even though her daughter did not include the account as an asset, Wells Fargo, which monitors bankruptcy filings, froze it. [Read more…] about Choose Your Joint Account Holders Wisely
Got a Raise? It Could Cost You in Alimony
When calculating alimony, most would assume that the calculation would be based upon the breadwinner’s income prior to the divorce. After all, why should the ex-spouse benefit from business success earned after their relationship has been legally severed? In a surprising verdict, however, Superior Court Judge Lawrence Jones ruled against this assumption. [Read more…] about Got a Raise? It Could Cost You in Alimony
States Conforming to IRS Employee Classification Amnesty
When the IRS announced its employee classification amnesty, it caused a number of concerns for employers. A primary concern was whether the States would conform, or if they would just consider the IRS application a confession and prosecute taxpayers that take advantage of the program. While it may be too soon to tell in many states, some have conformed already. [Read more…] about States Conforming to IRS Employee Classification Amnesty
New IRS Employee Classification Amnesty: Proceed with Caution
While the new IRS employee classification amnesty program does offer significant tax benefits, it also raises a number of concerns for employers. Issues of concern include: [Read more…] about New IRS Employee Classification Amnesty: Proceed with Caution