American Abroad Beware: Forced Heirship Laws Can Undo Your Estate Plan
American expatriates often assume U.S. estate plans control the distribution of their assets, but many civil‑law jurisdictions enforce forced‑heirship rules that reserve a statutory share for spouses, children, or other close relatives. These rules apply to anyone who habitually resides in or owns property in the country, regardless of citizenship, and can override wills, trusts, and charitable bequests. The EU Succession Regulation offers a choice‑of‑law option, yet national public‑policy exceptions—such as France’s recent ruling—still allow local forced‑heirship claims. Consequently, U.S. planners must integrate foreign succession laws to protect client intentions.
QSBS After 5 Years: Does the Active Business Test Ever Stop?
The five‑year holding period for Qualified Small Business Stock (QSBS) satisfies the time requirement but does not freeze the active‑business test. Section 1202(e) must be met for substantially all of the holding period, whether the exclusion tier is three, five, or...
The Artistic Works Exemption in CIS: What Contractors Need to Know
HMRC’s Construction Industry Scheme (CIS) excludes work that is purely artistic, meaning contractors do not need to apply CIS deductions to items such as freestanding sculptures or canvas murals that have no functional building purpose. By contrast, artworks that serve...
The Shelter Debate
Recent Statistics Canada data shows 11.3 million Canadians contributed to retirement accounts in 2023, with 5 million using only a TFSA (median $6,500 CAD ≈ $4,750 USD) and 3.8 million using only an RRSP (median $3,420 CAD ≈ $2,500 USD). A further 2.5 million Canadians contributed to both,...
Cliff Planning Before Washington's 2028 Income Tax: How to Use 2026 and 2027
Washington will levy a 9.9% income tax on household earnings above $1 million beginning Jan 1 2028, making 2026 and 2027 the last years to recognize income without state liability. The article introduces “cliff planning,” a timing strategy that accelerates taxable events—such as...
Equipment Gains Not Automatically Farm Income for SDRP
The One Big Beautiful Bill Act (OBBBA) reclassifies equipment gains as farm income, but the change only takes effect for crop years beginning in 2026. Consequently, for the current Supplemental Disaster Relief Program (SDRP) years—2023 and 2024—equipment gains do not count toward the...
Washington Vs. California: Residency Safe Harbors Compared
Washington and California use vastly different residency safe harbors that can make or break a founder’s tax position when moving between the two states. Washington offers a statutory 30‑day rule that requires no Washington abode, an outside abode for the...
The Hidden Costs of Getting Tax Planning Slightly Wrong
Retirees often underestimate how small income shifts can trigger disproportionate tax consequences. A modest increase can push Social Security benefits, Medicare premiums, and investment income into higher tax brackets, turning an apparent 12% rate into an effective 20% or more....
Stop Flying Blind on Sales Tax: How RJM Tax Exemption Protects Shopify Brands From a Compliance Crisis
RJM Tax Exemption, a specialist compliance firm, helps Shopify brands navigate the four sales‑tax nexus triggers—economic, physical, affiliate and click‑through—that can create hidden liabilities once a seller exceeds $100 K in interstate sales or uses Amazon FBA warehouses. The firm offers...
Washington's Capital Gains Tax (Now Up to 9.9%): Residency Planning Before You Sell
Washington’s new capital‑gains excise tax charges 7% on the first $1 million of gain and 9.9% on any amount above that, creating a potential seven‑figure liability for founders selling stock or other intangibles. The tax applies only to sellers domiciled in...
QSBS Attestation Letter: What It Needs to Say
Qualified Small Business Stock (QSBS) benefits hinge on solid documentation, and the article breaks down exactly what a QSBS attestation letter must contain to survive an IRS audit. It warns that generic, one‑page letters are ineffective and outlines each statutory...
GLD Tax Treatment: Wash Sales, §475 MTM, and GLD Options (Section 1256 Vs. Section 1234)
The SPDR Gold Trust (GLD) is a grantor‑trust ETF whose tax treatment hinges on its legal structure. For most investors, GLD is viewed as property, so wash‑sale rules under §1091 generally do not apply. Traders who elect §475 mark‑to‑market can...
How the 2008 Farm Bill Helps Joint Filers Qualify for SDRP
The USDA’s Supplemental Disaster Recovery Program (SDRP) requires at least 75% of a household’s gross income to come from farming. Married couples filing jointly often fall short when one spouse earns significant off‑farm income. A provision in the 2008 Farm...
Can You Prove Your QSBS Will Hold Up?
Founders often assume their Qualified Small Business Stock (QSBS) automatically qualifies for the §1202 tax exclusion, but the benefit is fact‑intensive and subject to IRS scrutiny. To preserve eligibility, shareholders must retain a stock purchase agreement, certificate, and evidence that...
The Tax Trap That's Costing Your Clients Millions — And the One Tool That Breaks It
The Lead‑Lag Report is hosting a free, one‑hour webinar on May 5, 2026 to teach CFP® professionals about the 351 Exchange—a tax‑deferred strategy that lets clients move concentrated, appreciated stock into a newly created ETF without triggering capital gains. The session, co‑presented...