Niles Elber Weighs in on Employer Tax Credit in Financial Planning

Financial Planning

A bipartisan bill awaiting action in the Senate after easily passing the House would crack down on a troubled pandemic-era tax credit in a way that may affect financial advisors.

. . .

It could also impose a "heavy burden that's being placed on the advisors" who may have recommended the credit, according to Niles Elber, a Member in the Washington, D.C. office of law firm Caplin & Drysdale who represents businesses and other taxpayers before the IRS. The bill may define them as a "promoter" subject to penalties up to the greater of $200,000 or 75% of the income they received from the taxpayer for a faulty claim and a fine of $1,000 for each failure to comply with due diligence requirements, a House summary of the legislation showed.

"It's a significant bump up, and so you're getting a combination of, 'OK, we're not going to be paying any more claims,' and 'We're bumping up these two penalties,'" Elber said in an interview.

To view the full article, please visit Financial Planning's website (subscription required).


Related Practices/Industries

Jump to Page

We use cookies to make your experience of our website better. By continuing to browse this site you consent to the use of cookies. Please visit our Privacy Policy for more information.