HK® Bobby Pen & The Pen Pals® - New York's Pied-à-Terre Tax

New York’s “Pied-à-Terre” Tax

Enacted as part of New York State’s fiscal year 2027 budget, the “pied-à-terre” tax in New York is officially known as “City Surcharge on Property That Does Not Serve as a Primary Residence.” The burden is on the property owner to establish a “primary residence” exception from New York’s “pied-à-terre” tax by submitting certain evidence to the New York City Department of Finance. The deadline to submit a claim for exemption from New York’s “pied-à-terre” tax is September 18, 2026.

Transferring Your Asset Protection Structure to the Next Generation

While we may not expressly consider asset protection for our children, transferring an asset protection structure to your children is consistent with the objective of estate planning. This concept of transferring your asset protection structure to the next generation derives from the view that an established asset protection structure has value. If you transfer your asset protection structure to the next generation, you continue this “investment” to provide value for the next generation. You save your children the legal fee and filing fee costs that they would otherwise need to incur to create their own asset protection structure.

Estate of Rowland – An Important Federal Estate Tax Case Concerning Portability

Given that asset values tend to increase over time, and Federal estate tax liability tends to arise more on the death of a “second-to die” spouse than on the death of a “first-to-die” spouse, portability can be a critical concept to minimize Federal estate tax liability. Additionally, Revenue Procedure 2025-28 is relevant for taxpayers seeking to amend their tax returns for taxable years 2022 through 2024 and claim a 100% full deduction of their “domestic research or experimental expenditures” in those taxable years.

The Wash Sale Rule

A less well-known rule that can affect the tax deduction of losses from the sale of stock is the wash sale rule, enacted under Internal Revenue Code Section 1091. This article discusses the application of the wash sale rule.

HK® Bobby Pen & The Pen Pals® Real estate, Wealth, Health

Trump’s Tax Proposals

President-elect Trump has proposed various new specific exemptions from income tax liability. First, he would exempt tips from income tax liability. Second, he would exempt overtime pay from income tax liability. Third, he would exempt Social Security benefits from income tax liability. There is no guarantee that some or any of President-elect Trump’s tax proposals will be enacted into law.

Connelly v. United States – An Important Supreme Court Estate Tax Valuation Case

“Buy sell” agreements often are funded by life insurance policies. Life insurance proceeds can affect the “estate tax” valuation of a deceased business owner’s ownership interest. And can have material implications for the terms of “buy-sell” agreements, business valuations, and other estate tax liability and estate planning issues.

Moore v. United States – Wealth Taxation Is Still Possible

Relative to its decisions concerning other areas of the law, the United States Supreme Court generally does not issue many decisions concerning tax law. Thus, when the Supreme Court does issue a tax decision, it definitely is noteworthy and deserves attention.