Legal Services – Page 6 – AmeriLawyer – Incorporate, Trademark & Asset Protection

“Heart Act” Helps Reservists Meet Their Daily Needs

March 3, 2016 Spiegel & Utrera, P.A.

The US Senate Finance Committee recently approved a series of tax credit extensions, including a 2-year extension that assists small businesses, military reservists, and National Guard members called to active duty. Originally enacted as part of the Heroes Earnings Assistance and Relief Tax Act of 2008 (The Heart Act), the provision provides a tax credit of 20% to small employers with under 50 employees. The 20% is calculated from the differential amount that an employer would pay while the employee is on active duty. For example, if a reservist gets paid $2,000 per month from their employer, but only $1000 per month while on active duty, an employer would get a tax credit on $1,000 (or $2000) that the employer would pay to maintain the $2,000 per month salary.

The credit incentives small businesses to continue paying their employee’s salary, therefore ensuring that reservists, the men and women in the National Guard, and their families, are able to meet their daily needs.

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have questions about Tax Credits, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

Spiegel & Utrera, P.A. is a corporate law firm with its main offices located in Miami, Florida with offices throughout the United States. As a law firm, we do more than just help you form your business entity. We stand ready to help with the maintenance of your legal business entity! We will assist you with Incorporation Service, Trademarks, Copyrights, Estate Planning, Legal Counsel, Wills, Trusts, Agreements & Leases, Corporate & Company Changes.

Understanding How To Write Or Respond To A Demand Letter

February 29, 2016 Spiegel & Utrera, P.A.

What is a Demand letter? A letter of demand is sent to a person or organization who owes you money (a debtor) following your sale to them of goods or services. The letter advises the debtor of the amount outstanding and threatens court action to recover the debt if it is not paid within a certain time.

Why send a Demand Letter? A letter of demand serves two primary purposes. First, it warns the debtor of your intention to commence legal proceedings unless payment is made and gives the debtor one more opportunity to pay. Secondly, the letter is a document which may be tendered in evidence during court proceedings as written proof of your claim of the debt owed and your attempt to settle the matter. Other reasons include:

It can be legally required prior to litigation.
It best preserves your remedies for charging interest. It may qualify you for extra. remedies such as statutory penalties and attorney fees.

Copies of any relevant documents such as contracts, letters of agreement, invoices, etc, should be listed and attached to the letter of demand to assist the debtor to identify the transaction and his liability to pay. It is advisable to send the letter of demand by registered post or fax to confirm receipt. You’d be surprised how often a demand letter from a lawyer can work without you having to go to court.

How do you Respond to a Demand Letter?

Do not ignore a letter of demand from a creditor or debt collection agency for monies owing.
Carefully check the letter for any matters that are unclear.
Seek legal advice from one of our attorneys if the claim is disputed.
If you do not dispute the claim, contact one of our attorneys to contact the creditor and attempt to negotiate settlement of the matter.

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have questions about Writing or Responding to a Demand Letter, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

Has YOUR Attorney Reviewed The Commercial Lease Agreement?

February 23, 2016 Spiegel & Utrera, P.A.

Before you enter into a Commercial Lease Agreement there are important considerations to be made as to why it should be reviewed by your Attorney.

1. The Landlord: Leases are usually drafted by the Landlord or their attorney and , therefore, typically the terms are favorable to and beneficial for the Landlord.

2. Lease Size: Leases tend to be so voluminous and dense from the tenant’s point of view. The Landlord is unlikely to take a careful review of the lease document to assure it reflects your lease and the terms you agreed to. Additionally, due to the volume of the Lease and the use of legalese sometimes you as the Tenant are not certain as to what you are signing. For example, a personal guaranty provision – which eliminates any protection your corporate entity or limited liability company might provide against someone suing your business and attaching your personal assets – is often buried deep in a lease agreement or in the exhibits and most times Tenants do not realize they have a signed one. Your attorney will carefully review the lease documents and sift through all the legalese.

3. Protection from competition. Your attorney will likely make a point of reviewing your Lease agreement to be certain that your Lease prohibits the Landlord from renting to your direct competition.

These three points only scratch the surface!

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have questions about Commercial Lease Agreement, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

Taxing Severance Pay

February 15, 2016 Spiegel & Utrera, P.A.

Many employers have typically interpreted their FICA (Federal Insurance Contributions Act) obligations (i.e., Social Security and Medicare) to extend to severance pay based on the IRS treating severance pay as wages, but that may change. Employers making severance payments may be entitled to a refund if the employers withheld FICA.

This year, the U.S. Supreme Court will hear a case regarding whether severance payments should or should not be subject to FICA. In the pending case, the lower court ordered that the IRS give a full refund of $1,000,125 to the employer. The lower court found that payments the employer made to employees who were involuntarily terminated due to business cessation were considered supplement unemployment compensation benefits (SUB payments) that are not taxable wages under FICA.

A ruling in favor of the employer would lower costs for employers. Employers would no longer be required to make FICA contributions on severance payments. Additionally, employers may be entitled to a refund on previous severance payments. Accordingly, employers should consider filing protective refund claims so that they can keep the statute of limitations on refund claims open pending review of the above mentioned case by the U.S. Supreme Court. Employees may also file claims for refunds.

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have questions about Taxing Severance Pay or Filing Protective Refund Claims, call (800) 734-9900 orclubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

Spiegel & Utrera, P.A. is a corporate law firm with its main offices located in Miami, Florida with offices throughout the United States. As a law firm, we do more than just help you form your business entity. We stand ready to help with the maintenance of your legal business entity! We will assist you withIncorporation Service, Trademarks, Copyrights, Estate Planning, Legal Counsel, Wills, Trusts, Agreements & Leases, Corporate & Company Changes.

Asset Protection With A Limited Liability Company

February 10, 2016 Spiegel & Utrera, P.A.

There are several factors that have to be considered before organizing a Limited Liability Company (LLC) that can protect assets from the reach of creditors in a legal dispute. Some of the factors to be considered in making this baseline determination should include:

The legitimate business purpose of the LLC
The number of owners in the LLC and how the LLC may need to be divided or funded among those owners
The taxation of the LLC
The ongoing costs of the LLC
The history of use of a LLC for the particular purpose it’s being considered for, including case law

Assuming these all support the LLC as a good fit for the usage at hand as opposed to some other legal structure such as a corporation, trust, or partnership, you must look at some other specific factors to determine how many LLCs an individual may need. Contrary to popular belief, you don’t always need a separate LLC for every piece of real estate. Similarly, an LLC is not a universal fit for every situation or every asset. It should not be funded like a garbage can, where multiple properties, businesses, and even safe passive assets are mixed into a cocktail of liability. This is a common fatal flaw seen in asset protection plans that are structured without assistance of an experienced attorney.

It is critical for business owners to seek preventive legal counseling to carefully consider creation of asset protection plans before legal disputes have arisen so that LLCs can be properly used as one of the tools to protect assets.

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have questions about Asset Protection, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

What Type Of Business Entity Will You Form

January 28, 2016 Spiegel & Utrera, P.A.

Of all the choices you make when starting a business, one of the most important is the type of legal structure you select for your company. Not only will this decision have an impact on how much you pay in taxes, it will affect the amount of paperwork your business is required to do, the personal liability you face and your ability to raise money. With so many choices of type of formation such as a C Corporation, S Corporation, LLC, General and Limited Partnerships (LP), it is important for entrepreneurs to evaluate the following main criteria:

Legal Liability – to what extent do you need to be insulated from legal liability?
Taxes – what are the opportunities to minimize taxation based on your situation?
Cost of Formation and Administration – State filing fees and record-keeping vary from state to state and type of entity.
Flexibility – a maximize the flexibility of the ownership structure by considering the unique needs of the business.
Future Needs – you must plan for uncertainties such as disability or selling your business.

These are only the primary criteria for most business owners, your personal and business situation may have to involve the analysis of more criteria in selecting the appropriate business entity. The advice of a trained corporate lawyer should not be ignored when making such a decision.

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have any questions about what type of business entity you should form, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

Be Aware Of Your Rights When Dealing With The IRS

January 25, 2016 Spiegel & Utrera, P.A.

In a recent matter with the IRS, a business owner had paid a balance due in full for a business tax debt; however, the IRS had used the payment to offset another liability that the business had incurred.

In situations such as these and in order to ensure that taxpayers are aware of their rights when disputing IRS actions, the agency has released a Taxpayer’s Bill of Rights. Int the business taxpayer’s situation, it is critical to indicate to what debt a payment should be attributed; otherwise, the IRS will designate the payment to any liability that serves the IRS’s interest, such as penalties and interest.

we-the-people — We The People – Be Aware of Your Rights

It is important, therefore, to be aware of your rights when dealing with IRS decisions as a business owner. These include:

The Right to Be Informed
The Right to Quality Service
The Right to Pay No More than the Correct Amount of Tax
The Right to Challenge the IRS’s Position and Be Heard
The Rights to Appeal an IRS Decision in an Independent Forum
The Right to Finality
The Right to Privacy
The Right to Confidentiality
The Right to Retain Representation
The Right to a Fair and Just Tax System

While many issues can be resolved via a phone call to the IRS or a visit to the nearest taxpayer assistance center, more serious disputes can be addressed through an independent forum. These include the Taxpayer Advocate Service (an independent organization within the IRS), the office of Appeals, and the U.S. Tax Court. Representation is strongly encouraged when pursuing an appeal to ensure that your business interests are zealously advocated.

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have any tax related questions, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

Foreign Accounts Being Reported To IRS

January 19, 2016 Spiegel & Utrera, P.A.

The Foreign Account Tax Compliance Act (FATCA) is just the latest manifestation of a long tradition of international cooperation for law enforcement and tax collection purposes, specifically contained in various Tax Information Exchange Agreements that the U.S. has signed with a multitude of other countries. FATCA imposes a 30% withholding requirement on payments from the U.S. to any Foreign Financial Institution that has not registered with the IRS and agreed to follow certain procedures for detecting and reporting accounts held by U.S. taxpayers. In order to improve tax compliance and implement FATCA, the U.S. has entered into Intergovernmental Agreements that essentially require treaty partners (FATCA Partners) to adopt FATCA as their national law.

Two types of U.S. accounts are subject to FATCA reporting and are referred to as “Reportable Accounts”. The first type is a Depository Account held by an individual who is a resident of a FATCA Partner country and that receives more than $10 of interest in any given calendar year. Depository Accounts are basically checking, savings, certificates of deposits and similar types of accounts, including certain interest-bearing insurance investments. The other type of Reportable Account is a Financial Account held by a resident of the FATCA Partner country, including entities that certify that they are resident in the FATCA Partner country for tax purposes. A Financial Account is basically any account maintained at a Financial Institution. U.S. citizens and tax residents, living in the U.S. or abroad, who have accidentally or intentionally failed to report income, bank accounts, corporations, trusts or other assets outside the U.S. are increasingly at risk of being detected, fined and in some cases even incarcerated and deported. Anyone unsure whether they have fulfilled all their tax and information reporting obligations should seek the privileged advice of a U.S. tax attorney as soon as possible to determine the safest and most economical way of resolving their non-compliance prior to detection.

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have more questions about foreign accounts, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

Are you an accountant? Get listed in our online accountants list as well as our accountants published paper insert that is included with every new business formation. To be inlcuded in our list, free of charge, email us your business contact details at accountants@amerilawyer.com

What You Have To Do Next After You Win $1.4B Powerball

January 13, 2016 Spiegel & Utrera, P.A.

As you work hard and commence to acquire assets and invest in different things, it is often a chilling thought to imagine something happening to you and what is to then happen to your assets and your loved one’s access to these assets.

Many times poor planning leads to loved ones having to spend too much money attempting to marshal and probate someone’s estate, because the person either did not even have a will or passed away with only a will, which requires a probate be established in the competent court.

“A trust is an arrangement where either money, real estate or other assets are transferred from the settlor, many times while the settlor is still alive, to be managed and administered for the benefit of another pursuant to the terms of the trust agreement”

A revocable living trust is where the trust is created during the settlor’s or grantor’s lifetime and can normally be changed and modified during the settlor’s or grantor’s lifetime. Generally, the revocable living trust is created by a written document, known mainly as a trust instrument or trust agreement. The funding of the trust should occur at the same time or shortly thereafter. Funding or vesting requires assets to be transferred into the trust.

Many times the grantor or settlor, the creator of the trust, and the trustee and the administrator of the trust are the same individual, and the grantor or settlor has the right to amend or revoke the trust.

The primary reason to consider using a revocable living trust is to avoid the sometimes lengthy and expensive probate process which many will be subject to when their loved one passes with or without a will only. The trust provides that in the event of the grantor or settlor’s incapacity, mental or physical, or death, the successor trustee takes over the administration of all trust property.

The most important or popular reason for its use is the avoidance of probate upon the grantor’s or settlor’s death. Probate is avoided because the Trust assets are owned by the trust rather than the grantor or settlor.

Do you have any questions about trusts? It is important that you have a well drafted trust. Speak to one of our attorneys by calling 800-743-9900 or visit our website www.AmeriLawyer.com today!

Are You Taking The Leap Into Franchising?

January 7, 2016 Spiegel & Utrera, P.A.

There are more than 3,000 franchises in the United States; the vast majority are unknown to the average consumer. Many entrepreneurs consider buying a franchise due to brand recognition and access to turn-key operations. However, there may be many pitfalls to becoming a franchise that many entrepreneurs fail to consider before entering into a franchise agreement. The following are some key issues to consider before taking the leap into franchising:

Is it a good business opportunity? Even if you are buying a franchise, you need a business plan. Franchisors often provide information that can be inserted into your plan, but you should not rely on the franchisor. You need to analyze your own market and consider enlisting professional help.
Who is the franchisor? Entrepreneurs should ask questions related to the business model, the uniqueness of the product or service, competitors, long-term value, marketing support provided, royalties and franchise fees, and hidden costs such as rents and annual meeting requirements.
What do other franchisees say? You should consider talking to past and current franchisees to discuss their experiences.
What does it cost? Federal law and most states require that you receive a franchise disclosure document and franchise agreement that discusses all fees and costs, past performance, and other relevant financial and legal information. Review of these documents should not be taken lightly, and it is highly suggested to have an experienced franchise law attorney review the documents.

If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have more questions about franchising, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.

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