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David Martin Beliveau

David Beliveau’s Answers

179 total

  • Any tax advantages of multi member LLC over single member LLC?

    I visited a tax attorney for a paid consultation. I (along with some help from my side) am starting a new business. The tax attorney suggested that it is better if I set up a 'LLC to be taxed as a partnership'. Now I can not recollect the exact re...

    David’s Answer

    I am not aware of a tax advantage of a multi member LLC over a single member LLC. A multi member LLC requires more tax work (IRS Form 1065 and respective Schedules K-1) than a single member LLC (IRS Schedule C). Since there are two of you, if you are going to establish an LLC, you will need to be a multi member LLC taxed as a partnership (default). With an LLC, you cannot minimize self employment taxes like you can with an IRS Subchapter S corporation. That is, with an LLC, all of the profit is subject to self employment taxes. A multi member LLC will provide you with better asset protection than a single member LLC. The recent respective Florida case is Olmstead v. Federal Trade Commission (44 So. 3d 76 (Florida 2010)). Florida subsequently passed legislation to modify Florida Statutes Section 608.433 ("Olmstead patch"). The Olmstead patch clarifies that the holding in the Olmstead case does not apply to a multi member LLC.

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  • Can my husband take me off as beneficiary of his retirement account?

    not divorced

    David’s Answer

    As the other attorney answered: A spouse cannot be "taken off" as beneficiary of an ERISA retirement plan (401(k); 403(b); etc.) without the spouse providing written consent to do so (spousal waiver required). However, a spouse can be "taken off" as beneficiary of a non ERISA retirement plan (IRA) without the spouse providing written consent to do so (no spousal waiver required).

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  • What is deadline to file will, probate home with final death income tax in Massachusetts?

    Mom passed away suddenly in my arms on July 27, 2011 in California where she lived with me for several years. Her valid will names me as sole executrix and beneficiary to her only asset, the family home worth about 300K in MA. (She was a legal res...

    David’s Answer

    Sorry for your loss.

    Since your mother lived with you in California for several years, she may have become a California resident if she did not intend to return to Massachusetts.

    If the Massachusetts property is just in your mother's name, it is subject to Massachusetts probate.

    You should prepare and file final late Federal and Massachusetts (resident or non resident: see above) income tax returns for your mother. If applicable, although you will not be able to get any respective interest waived, based on your son's circumstances (sorry to hear), you may be able to get any respective penalties waived.

    I recommend you consult with a probate attorney and CPA in Massachusetts. Our firm has both. We have an office in Quincy. We would be happy to help.

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  • My grandparents left me their condo in FL in their will. Do i officially own it? What else do I need to do?

    I live in MA and have inherited my grandparents condo in FL. Do I need to obtain a quit deed in FL or if I mail the condo association a copy of the will is that enough? I'm not sure what I have to do to officially gain ownership. Thanks.

    David’s Answer

    Sorry for your loss. I agree with the answers provided by the other attorneys. You should consult with a Florida probate attorney and a Massachusetts estate planning attorney. We have offices in Florida and Massachusetts. We provide free initial consultations. Feel free to contact us [main office: Waltham, MA: (781) 890-8600] if we can help. Thank you.

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  • Are unemployment benefits considered earned income?

    No further details.

    David’s Answer

    Topic 418 - Unemployment Compensation

    Unemployment compensation is includible in gross income. You must report unemployment compensation on line 19 of Form 1040, line 13 of Form 1040A, or line 3 of Form 1040EZ.

    Unemployment compensation generally includes any amounts received under the unemployment compensation laws of the United States or of a state. It includes state unemployment insurance benefits and benefits paid to you by a state or the District of Columbia from the Federal Unemployment Trust Fund. It also includes railroad unemployment compensation benefits, disability benefits paid as a substitute for unemployment compensation, trade readjustment allowances under the Trade Act of 1974, and unemployment assistance under the Disaster Relief and Emergency Assistance Act of 1974. Unemployment compensation does not include worker's compensation.

    If you received unemployment compensation during the year, you should receive Form 1099-G (PDF) showing the amount you were paid. Any unemployment compensation received during the year must be included in your income, unless you contributed to the fund. See Below.

    If you received unemployment compensation, you may be required to make quarterly estimated tax payments. However, you can choose to have federal income tax withheld. For more information, refer to Form W-4V (PDF), Voluntary Withholding Request.

    Supplemental unemployment benefits received from a company financed fund are not considered unemployment compensation for this purpose. These benefits are subject to income tax withholding as wages. They may be subject to social security and Medicare taxes as well. Supplemental unemployment benefits are reported to you on Form W-2 (PDF). For more information about supplemental unemployment benefits, see Publication 15-A (PDF) , section 5.

    Unemployment benefits from a private fund (or, in some cases, public fund) to which you voluntarily contribute are taxable only if the amounts you receive are more than your total payments into the fund. This taxable amount is not unemployment compensation; it is reported as other income on Form 1040 (PDF).

    For more information, see Unemployment Benefits in Publication 525.

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  • My husband inherited an ira from his dad and never claimed it. Hubby died and now money in estate ira -is subject to creditors?

    Hubbys father died oct 2010 and then husband died June 2011. We never got the money officially. Hubby had 16K in credit card debt i didnt know about at all. I do not plan on paying it. Father's estate planner moved the money to my hubbys estat...

    David’s Answer

    I agree with the answer provided by the other attorney. You should meet with a probate attorney to review the respective documents. If your husband's estate is the beneficiary of his retirement account, the funds will be included in his probate estate and subject to his creditors. There also are income tax consequences as a result of your husband's retirement account funds being paid to his estate.

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  • Does a 2nd non primary residence in Florida automatically go to the spouse in the event of death?

    My father purchased a second home (he does not live in it) without his current wife listed on title or on mortgage. In the event that he passes away does this property automatically becomes hers? Is the only way to prevent this from happening is t...

    David’s Answer

    No: A second non primary residence in Florida does not automatically go to the spouse in the event of death if she is not on the title. A surviving spouse has homestead rights in a residence. A surviving spouse does not have homestead rights in a non residence. However, a surviving spouse is entitled to an elective share against a predeceasing spouse's estate (probate (last will and testament) and revocable trust). A prenuptial agreement could affect a surviving spouse's elective share rights. If your father does not have an estate plan, he should work with an estate planning attorney who could prepare estate planning documents for him. Such estate planning documents include possibly a revocable trust (for probate avoidance), last will and testament, durable power of attorney, HIPAA release, designation of health care surrogate, and living will.

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  • Yes My mothers bank account is under her name only she had no will

    So would I have to go to the clerks office to get a form for the probate She didnt have much no house estate all she had was about 2200 hundred in the bank do you think I could go to the court with the death certificate and with the correct for an...

    David’s Answer

    Your mother's intestate estate is insolvent. You need to be careful regarding how you handle your mother's assets (bank account, home, and truck). You should retain a probate attorney to help you with the respective process.

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  • My mother has died from cancer she has no living will she has 2000 dollars in the bank Im the next of kin Is there a form I can

    Is there I form that I can fill out in order for me to ask a judge to give me the right to withdraw the moneys from her bank?

    David’s Answer

    Sorry for your loss. Did your mother own the bank account jointly with you or did she name you as the payable on death beneficiary of the bank account? If not and assuming your mother owned the bank account individually, the bank account is subject to probate. I assume what you mean by your mother not having a "living will" is that she did not have a last will and testament. Assuming I am correct, you presumably will have to petition the probate court to establish an intestate estate for your mother. The bank account is part of your mother's intestate estate. You could proceed with a summary administration. The respective Florida law follows:

    732.103 Share of other heirs.–The part of the intestate estate not passing to the surviving spouse under s. 732.102, or the entire intestate estate if there is no surviving spouse, descends as follows:
    (1) To the descendants of the decedent.

    735.201 Summary administration; nature of proceedings.–Summary administration may be had in the administration of either a resident or nonresident decedent’s estate, when it appears:
    (1) In a testate estate, that the decedent’s will does not direct administration as required by chapter 733.
    (2) That the value of the entire estate subject to administration in this state, less the value of property exempt from the claims of creditors, does not exceed $75,000 or that the decedent has been dead for more than 2 years.

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  • How do I pay myself as a single owner LLC?

    I have been all over the internet seeking this information. Ran into a few helpful things but this is just all to confusing to me. I just recently started a small business. I am the only one in my company. How do I legally pay myself as an LLC own...

    David’s Answer

    As a single member (owner) LLC, you should pay yourself through draws (by periodically withdrawing money from the business). You will need to make federal quarterly estimated tax payments to the IRS. All of the profit of the business will be subject to self employment tax. You probably should work with a CPA to help you.

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