Taxation

Howard O. Bernstein, P.C. has a dedicated and long term practice in Boulder, Colorado. Expertise includes not only tax preparation and tax advocacy, but also tax planning, advising and defending complex taxation matters. Our firm has experience in, and accepts cases involving:

• Domestic and international tax matters involving citizens, resident aliens and nonresidents
• Tax issues relating to divorce, including Qualified Domestic Relations Orders (QDROs)
• Delinquent International Information Returns, including FBAR
• Individuals, corporations, limited liability companies and partnerships
• Choice of entity selection
• Small businesses and franchises
• Defense through appeals, audit and collections
• Tax controversies, including representation in the U.S. Tax Court
• Tax Opinions
• Reporting and resolving identity theft
• Consulting to other legal and tax professionals
• Criminal tax investigations and representation
• Digital currency, including Bitcoin and other cryptocurrency
• Delinquent Foreign Corporation Returns (f1120-F)
• FATCA filing accuracy
• S Corporation distributions and reasonable compensation
• Tax provisions for governing documents, including Operating Agreements, Tenancy in Common Agreements, and S Corporation by-laws. 
• Sale of business, including stock/interest sales and asset sales
• Expatriation
• Withholding Certificate upon disposition of U.S. real property by foreign persons
• Qualified Opportunity Funds

Corporate, Partnership and Individual Taxation

The Tax Practice at Howard O. Bernstein, P.C. runs the gamut of the tax universe, from high-level, sophisticated individual, corporate and partnership tax planning to IRS disputes and state, local and sales tax issues. In addition, we represent individuals and businesses during IRS examinations and Colorado Department of Revenue, Colorado Department of Labor and Employment or United States Department of Labor investigations. Over the years we have established relationships with representatives of these agencies and have learned how best to deal with these government officials. We also advise individual clients who have fallen behind on federal or state income taxes, pursuing all options available to them including installment plans and Offers in Compromise. Our extensive experience in taxation also allows us to more thoroughly serve our clients’ corporate needs, as taxation permeates so many of our practice areas including M & A and corporate finance.

Tax in Controversy

We have direct Tax Court experience. As taxpayer advocates, we can handle any bona fide matter from audit through appeals and through the Tax Court system if necessary. Our firm has provided support and has effectively resolved matters involving considerable nuanced Code and case analysis.

Penalties

We can defend, and have a successful track record with resolving individual tax penalties, including complex I.R.C. Sec. 6694 and Circular 230 practitioner matters.

International Tax and Transactions

Our comprehensive understanding of the rapidly changing laws and policies that affect people with substantial foreign assets allows us to effectively guide taxpayers through the Internal Revenue Service’s voluntary disclosure procedures, streamlined filing compliance procedures, or delinquent international information return submission procedures. The IRS voluntary disclosure procedures are designed to provide taxpayers who have unfiled reports or returns and are concerned that their conduct is willful or fraudulent and/or may rise to the level of tax and tax-related criminal acts with an opportunity to come into compliance with the law and potentially avoid criminal prosecution. A timely voluntary disclosure may also mitigate exposure to civil penalties. While participation in the voluntary disclosure procedures is not recommended in every situation, it can be a useful tool for minimizing the risk inherent in disclosing previously undisclosed foreign financial account information and filing required returns.

The Streamlined Filing Compliance Procedures and delinquent international information return submission procedures are designed to allow taxpayers to correct past mistakes when those taxpayers have unfiled reports or returns and did not commit any tax or tax related crimes and therefore do not need the voluntary disclosure practice to seek protection from potential criminal prosecution.

We can also assist taxpayers in preparing and filing delinquent (or current) Report of Foreign Bank and Financial Account (FBAR) forms using the IRS’s delinquent FBAR submission procedures. A U.S. citizen or resident that has a financial interest in or signature authority over foreign financial accounts must file an FBAR if the aggregate value of all foreign financial accounts exceeds $10,000 at any time during the calendar year.

As the global economy expands, more Colorado-based businesses find themselves doing business overseas. The options are numerous: outsourcing, manufacturing, distribution, technology transfers, joint ventures, and so forth. We continually stay abreast of global legal and tax developments that affect our clients and their businesses. We have advised clients and structured transactions involving:

The firm’s principal, Howard O. Bernstein, authors the International Business Transactions chapter of the Colorado Bar Association’s Practitioner’s Guide to Colorado Business Organizations and moderated the International Commercial Transactions Continuing Legal Education Program for the Colorado Bar Association.

Practioner Compliance

If you as a tax practitioner, preparer or even an attorney may have “touched” a client’s tax situation, you are likely regulated by the IRS under Circular 230. If you have questions on how you may be affected, or if you require consulting on a case at your firm, we can provide expertise and qualified opinions in a timely and effective manner.

Marital Dissolutions, Family LLCs and Trusts

We are happy to work with domestic law attorneys for tax strategies and potential future liability analysis for their clients undergoing dissolution or separation or are contemplating premarital agreements. Certain tax advantages or disadvantages are experienced typically when couples split qualified retirement accounts or other qualified or tax advantaged assets. Other times, one or another spouse may have incurred tax liabilities that may carry forward to the separating spouse. In other cases, one spouse may hold an interest in a parental-grantor trust or other planning device. If your client’s case involves expectancies, such as in trust or third-party succession planning devices including family limited partnerships, LLCs, or other business entity structures, we can be available for consultation on valuation, vesting of interests and marital share assessments.

Divorce

We handle property transfers incident to divorce. We draft qualified domestic relations orders and assist our clients in determining whether particular payments are tax deductible to the paying spouse and taxable to the receiving spouse.