Does your LLC have an TIN? - Understanding the New IRS Regulation Requirements for LLCs

Web Admin - Monday, January 23, 2017

Palatine corporate law attorneysAlthough most business owners are honest citizens, the few who are not have created a slew of regulatory requirements for everyone else. Case in point: the IRS now mandates that foreign-owned, single-member limited liability companies (LLCs) must obtain a U.S. tax identification number (TIN). Learn more about this new regulation, and how it may impact your business, in the following sections.

Understanding the Purpose of the New Regulation

The new regulation, which is supposed to ensure the United States is in line with requirements from the Financial Action Task Force (FATF), has been put into place to combat issues of tax evasion, money laundering, and terrorist financing. In addition to the requirement that all LLCs obtain a TIN, LLCs must also collect or obtain an employer identification number (EIN) for all members. Further, members may be required to file an annual tax return. 

Understanding the Potential Consequences

Failure to comply with the new regulations can, at the very least, result in serious penalties. If found to be willful, consequences could also include criminal charges, which typically carry hefty penalties, fines, and possibly even jail time. To avoid such consequences, it is critical that all LLC partners follow the new guideline. If you have questions about this new regulation, or any other regulations that may be imposed on your company, an experienced business law attorney can help.

Ensure Your Business is Compliant with All Federal Regulations 

Whether you have just started a new business, are planning to start up one in the near future, or have been in business for years, compliance with all federal regulations is critical to your company’s success. Obtaining a TIN is just one step in this complex but necessary process. Use this January to protect your company and its future with assistance from an experienced business law attorney. Able to review your company records to ensure you are properly governing your company, they can help you avoid possible personal liabilities.

Contact Our Palatine Corporate Law Attorneys

At Drost, Gilbert, Andrew & Apicella, LLC, we understand the complexities and issues your business may face. Dedicated and experienced, we strive to protect you and your company from legal issues. Learn more about how our Palatine corporate law attorneys can help you. Call 847-934-6000 and schedule a consultation with us today.

About the Author: Attorney Jay Andrew is a founding partner of Drost, Gilbert, Andrew & Apicella, LLC. He is a graduate of the University of Dayton School of Law and has been practicing in estate planning, probate, trust administration, real estate law, residential/ commercial leasing, contracts, and civil litigation. Since 2005, Jay has been a Chair of the Mock Trial Committee for the Annual Northwest Suburban Bar Association High School Mock Trial Invitation which serves over 240 local Illinois students each year.

Source:Janet Rae Montgomery-ISBA Estate Planning and Probate  “Dodoes, Loopholes, Defects and Other News Nuggets”

'Tis the Season... for Gift Taxes

Web Admin - Tuesday, December 16, 2014

Illinois gift tax, Arlington Heights estate planning attorneyOnce again, it is that time of year, the time when families get together to exchange gifts, and spend quality time together. During this season, people do not ordinarily consider their taxes. After all, the middle of winter is almost as far away from April 15th as someone can get. Nevertheless, the gifts people give during this time of year can have a long-term impact on their tax situation thanks to the gift tax. Gift giving during a person's life is often a good way for someone to avoid estate taxes, so careful planning around this time of year can leave someone's family in a much better financial position.

What Gift Givers Should Know

Gift givers are the ones most on the hook for understanding the tax law when dealing with gifts. The most important thing for gift givers to understand is the fact that they are working under two separate but related gift giving limits. The first limit is known as the annual gift tax exclusion. This is the amount per year that any gift giver may give to any single person. The IRS has set that exclusion at $14,000 for both 2014 and 2015. If a person goes over that limit, then he or she must file a gift tax return. However, this does not necessarily mean that he or she must pay any taxes on the gift.

Filing a gift tax return triggers the second limit that gift givers are working under, the lifetime exemption. The lifetime exemption is the total amount of money that gift givers are allowed to give away over their yearly exemption before they start to owe taxes. The current lifetime exemption is $5.34 million. This means that if a person gives away $20,000 to a single person in a single year, then he or she must subtract $6,000 from his or her lifetime exemption. This is especially important because the lifetime exemption never resets and applies to estate taxes as well. For example, if a person gives away enough during his or her lifetime that he or she has used up $2.34 million of his or her lifetime exemption, then only the first $3 million of his or her estate's distributions are tax free. The rest may be subject to a tax rate of up to 40 percent.

What Receivers Should Know

Gift receivers have a much simpler set of rules to work under. Ordinarily, the gift giver pays the gift tax, and the receiver does not have to worry. If the person giving the gift does not pay the tax, then the IRS may come after the receiver, but usually people giving money in excess of the annual exclusion can also cover the gift tax. Additionally, people receiving five or six figure sums from foreign sources may also have to report that.

Tax day may come but once a year, but tax planning is a year round problem. If you have questions about how best to manage your estate, contact an Arlington Heights estate planning attorney today. The law firm of Drost, Gilbert, Andrew & Apicella, LLC serves clients in many northwest suburbs including Palatine, Schaumburg, Barrington, Inverness, Mount Prospect, Long Grove, Kenilworth, Riverwood, and South Barrington.

About the Author: Attorney Jay Andrew is a founding partner of Drost, Gilbert, Andrew & Apicella, LLC. He is a graduate of the University of Dayton School of Law and has been practicing in estate planning, probate, trust administration, real estate law, residential/ commercial leasing, contracts, and civil litigation. Since 2005, Jay has been a Chair of the Mock Trial Committee for the Annual Northwest Suburban Bar Association High School Mock Trial Invitation which serves over 240 local Illinois students each year.

Recent Posts


golf accidents Arlington Heights car crash attorneys Illinois traffic attorneys crossover accidents car accident lawyer Palatine personal injury lawyer Crystal Lake insurance lawyer Chicago estate planning lawyer LLCs IRA trust transfer meal breaks Arlington Heights medical malpractice lawyer Illinois home inspection real estate lawyer boating under the influence bicycle dooring accidents Schaumburg estate planning attorney special needs trust Illinois red light cameras Illinois driving without license Rolling Meadows litigation lawyer medication errors Inverness traffic law firm automated cars Liquor Control Act Deer Park motorcycle accident lawyer Illinois Wage Payment and Collection Act back injuries college kids motorcycle accident lawyer Illinois insurance claim dispute lawyers ObamaCare insurance denials independent contractor residential real estate Illinois real estate lawyer Detainer Actions operating agreements medical malpractice, missed diagnosis, delayed diagnosis, medical mistake, Deer Creek medical malpractice lawyers Rolling Meadows employment law attorney Crystal Lake medical malpractice attorneys underinsured motorist traumatic brain injuries Schaumburg civil litigation attorney premises liability BAC Illinois rollover accident lawyers employment lawyer personal injury claims pedestrian-automobile accident Buffalo Grove insurance claim dispute lawyers Illinois traffic laws Arlington Heights criminal lawyer insurance claim denials internet estate tax Schaumburg Attorney denial of life insurance Class A misdemeanor Palatine law firm probate claims process Inverness accident lawyer Chicago lawyer Illinois insurance claim attorney Barrington litigation attorney Buffalo Grove probate lawyer Illinois personal injury attorney Home Sale Contingencies South Barrington real estate attorney Rolling Meadows accident lawyer ken apicella Arlington Heights Attorney DUI Barrington employment law firm Illinois corporate lawyer pain and suffering caretaker rights corporate law Inverness personal injury attorney insurance disputes paid sick leave drug crime Buffalo Grove law firm pregnant women Palatine drug lawyer Crystal Lake will lawyer Palatine employment lawyer Des Plaines personal injury attorney Buffalo Grove criminal defense lawyer workplace sexual harassment irrevocable trust Des Plaines compensatory time Illinois insurance lawyer Illinois motorcycle accident lawyer preventable medical errors Illinois workplace lawyer employees personal injury law firm Super Mario deadly crashes Illinois elder law attorney Palatine traffic accidents murder Deer Park employment law attorney South Barrington real estate lawyer insurance claim dispute probate lawyer Illinois collections attorney suspended license employee discrimination commercial real estate Schaumburg personal injury lawyers insurance attorney employment attorney Des Plaines drug lawyer living trust benefits Illinois employment law attorney Barrington personal injury lawyer Palatine elder law attorney condo association distracted driving accidents Palatine real estate lawyer deed transfer Illinois estate planning law firm Kenilworth estate planning lawyer Chicago employment lawyer IRA benefits life insurance drug crimes lawyer appealing an insurance claim Illinois insurance claim dispute lawyer Schaumburg probate attorney Arlington Heights tax lawyer Palatine insurance lawyer estate planning for college students Barrington employment law attorney Barrington medical malpractice lawyers Arlington Heights lawyer Rolling Meadows drug defense attorney Des Plaines real estate attorney sexual harassment employment contract Chicago will attorney pet law trucking accident lawyers Schaumburg criminal law attorney probate claims liens gift tax exemption, estate planning, estate planning strategies, Illinois estate planning, South Barrington estate planning attorneys marijuana crimes attorney estate attorney unauthorized overtime Rolling Meadows tax attorney Illinois mortgages drunk driving statistics Rolling Meadows employment law attorneys traffic tickets Chicago corporate attorney Illinois LLC creation Illinois living will mortgage Des Plaines insurance attorney Arlington Heights estate planning attorney Palatine injury attorney Palatine traffic lawyer trust payments liability revenge porn child safety defective products lawyer Arlington Heights insurance attorney controlled substance Palatine civil litigation lawyer Crystal Lake employment attorney insurance claim ACA boating accidents estate planning attorney Des Plaines collections attorney Illinois wills and trusts attorneys Illinois small business hands free device healthcare claims workers compensation benefits Illinois civil litigation lawyer DGAA criminal law drug crimes blended families Rolling Meadows criminal lawyer bike accident Mount Prospect wills and trusts lawyers Exclusions slip and fall privacy right to work loopholes Deer Park traffic lawyer Illinois workplace discrimination attorney bad faith insurance claims personal injury lawyer Deer Park accident attorney DUI attorney Home Remodeling Repair Act Inverness elder law lawyer Buffalo Grove employment lawyer insurance dispute, insurance dispute lawyers, insurance claim denial, insurance claim delays, Rolling Meadows insurance dispute attorneys Crystal Lake car accident lawyer Deer Park real estate law firm Illinois employment law firm Crystal Lake law firm Affordable Care Act Illinois lawyer unfunded trust Des Plaines personal injury lawyer Chicago attorney medical marijuana Illinois employment lawyer foreclosed rental property civil rights violation Illinois boating accident lawyer federal regulations for LLCs Crystal Lake medical malpractice lawyer Deer Park workers compensation lawyer Barrington employment attorney wills insurance claims real estate attorneys creditors unpaid overtime trusts license suspension Chicago will attorney, social media platforms, Illinois estate planning lawyer, Illinois traffic ticket lawyer employment contract, employment law, employment at-will, Deer Park employment law attorneys, contract, Crystal Lake criminal defense attorney Crystal Lake traffic attorney marijuana Arlington Heights car accident lawyer Des Plaines DUI attorney Retaliatory Discharge Rolling Meadows DUI lawyer Arlington Heights wills and trusts attorneys taxes FMLA icy parking lots Arlington Heights personal injury attorney Illinois pedestrian accident attorney real estate closing construction contracts Buffalo Grove medical malpractice lawyers breathalyzer test Des Plaines tax law firm Colin Gilbert Illinois tax attorney work unions underfunded trust Palatine estate planning lawyer Inverness real estate lawyer Rolling Meadows business lawyer surgical mistakes Crystal lake insurance dispute attorney defective products Mount Prospect real estate lawyer dynasty trusts liability claims Deer Park personal injury lawyer Illinois attorney Crystal Lake business law attorneys DUI defense Illinois personal injury lawyer life insurance lawyer Long Grove wills and trusts attorneys pedestrian injuries, pedestrian fatality Self-Directed IRA Accounts drug possession estate planning lawyer Des Plaines civil attorney Crystal Lake personal injury attorney Schaumburg insurance lawyers insurance dispute attorney Deer Park DUI lawyer GM ignition switches traffic laws digital assets Palatine employment attorney Family Medical Leave Act Des Plaines motorcycle accident attorney drugs personal injury, auto accident injuries, delayed injuries, serious injuries, Des Plaines personal injury attorneys Inverness civil lawyer Inverness DUI lawyer pet bites Des Plaines claims law firm involuntary manslaughter Federal Food Drug and Cosmetic Act real estate zoning insurance negligence Illinois real estate Illinois traffic attorney living trust Barrington criminal defense lawyer Crystal Lake personal injury lawyer Arlington Heights pedestrian accidents condo fiduciary rule real estate filing a medical malpractice claim Des Plaines pet law attorney Barrington injury attorney gift taxes Illinois Human Rights Act employment law criminal Illinois employment attorneys Illinois insurance claims lawyers Buffalo Grove corporate attorney FSLA privacy laws truck collisions Chicago estate planning power of attorney speeding Rolling Meadows insurance dispute lawyers, insurance dispute Des Plaines injury law firm digital evidence Palatine workers compensation lawyer Palatine criminal defense lawyer car collision car accident lawyers Inverness real estate attorney food poisoning real estate attorney business litigation Do Not Resuscitate natural gas vacation home fines Des Plaines Traffic Lawyer wills and trusts Buffalo Grove personal injury lawyer Palatine probate lawyer Schaumburg drug defense lawyer Schaumburg personal injury lawyer BUI products liability in terrorem provision commercial leases Long Grove estate planning attorneys Crystal Lake pedestrian accident lawyer Illinois workers compensation lawyer comparative negligence Crystal Lake car accident attorney Illinois Schaumburg injury lawyer federal crimes estate planning, death tax, succession plans, business estate plans, Barrington estate planning lawyers underage DUI foreclosure swimming pools estate planning, digital assets, Revised Uniform Fiduciary Access to Digital Assets Act, Illinois digital assets, Illinois estate planning, estate planning trusts Landlord Tenant Ordinance Schaumburg construction accident lawyer real estate contract hit and run accident Rolling Meadows corporate lawyer Illinois criminal defense attorney fatal car accidents Palatine civil attorney Crystal Lake estate planning lawyer Crystal Lake bike accident lawyer Illinois pet lawyer unpaid assessment Buffalo Grove traffic lawyers trustee Illinois Trust Code Arlington Heights trucking lawyer IRS Barrington Illinois estate planning lawyer blood alcohol content Crystal Lake tax lawyer drunk driving Arlington Heights accident attorney commercial leasing employee misclassification Illinois defective products attorney Palatine corporate law attorneys no contest clauses homestead rights Rolling Meadows traffic law firm Schaumburg wrongful death attorney boating DUI pedestrian accidents capital gains tax Des Plaines personal injury lawyers probate Illinois traffic accident lawyer Illinois will lawyer Barrington Traffic Lawyer contracts Crystal Lake civil litigation lawyer Palatine employment law lawyer Schaumburg real estate lawyer pizza emoji murder defense Buffalo Grove injury lawyer Kenilworth estate planning attorney license Illinois injury lawyer mass shooting Rolling Meadows employment attorney dealing with problem employees field sobriety test personal injury claim problem employees caregiver cell phone accidents traffic offenses institutional trustee owner responsibility Rolling Meadows PTSD subcontractor Arlington Heights Traffic Lawyer Illinois DUI attorney Legal Info holiday statistics Mt Prospect Attorney insurance claim delay Schaumburg medical malpractice lawyer Illinois business lawyer rest breaks overtime pay Crystal Lake accident attorney living wills loss of consortium landlord comp time brain injury Palatine Attorney minimum wage Illinois Sales Representative Act installment contracts Illinois Workers’ Compensation Commission tax attorney estate plan Rolling Meadows personal injury attorney auto accidents financial advisors Illinois employment law car crashes driving civil litigation first degree murder power of attorney for healthcare Illinois estate planning attorney medical malpractice compensation Arlington Heights wills and trusts attorney construction accidents, personal injury, wrongful death, Arlington Heights personal injury attorneys, workers' compensation Crystal Lake employment law attorney Rolling Meadows traffic attorney changes to mortgage law spinal cord injuries Arlington Heights real estate lawyer pedestrian accident modern family estate planning Rolling Meadows real estate attorney whistleblower protections Illinois personal injury lawyers forming a corporation in Illinois preventing accidents digital information life insurance claims expungement Illinois medical malpractice claim small business car crash elder law Barrington estate planning attorney product liability car accidents Schaumburg income distribution deducation insurance adjusters Illinois trusts attorney Employment Discrimination Law probate process insurance agent negligence uninsured motorist Illinois wills and trusts insurance disputes, Illinois insurance disputes, Illinois insurance dispute attorneys, denied insurance claims, Arlington Heights insurance dispute attorneys Schaumburg criminal attorney Palatine corporate attorney natural gas explosion Chicago car accident lawyer Illinois Smoke Detector Act pay when paid contract Inverness estate planning lawyer probate fees Schaumburg car accident attorney IRELA Arlington Heights traffic attorney Illinois insurance dispute lawyers spinal cord injury Crystal Lake traffic lawyer Inverness insurance attorney employee rights Fair Labor Standards Act personal injury attorney Barrington drug crime attorney Barrington estate planning lawyer Rolling Meadows Attorney home inspection lawyer Illinois medical malpractice case estate planning Palatine punch death Barrington personal injury attorney Chicago traffic lawyer wrongful termination Deer Park traffic accident attorney Barrington business law firm Inverness probate lawyer Rolling Meadows personal injury lawyer agent Arlington Heights employment attorney Policy Cancellation trauma after an accident Fourth of July accidental death benefits Mount Prospect elder law attorney llinois Real Estate Lawyers Association Illinois business law atorneys manufacturing Des Plaines accident attorney employment law, Illinois employment laws Colin H. Gilbert Rolling Meadows car accident lawyers Rolling Meadows marijuana attorney Illinois medical malpractice lawyers Palatine construction attorney jet ski criminal record Illinois medical malpractice attorney Rolling Meadows probate lawyer Illinois construction accident attorney Chicago trucking accident attorney disability benefits Crystal Lake employment lawyer nursing home negligence rent to own real estate contracts Chicago employment attorney dram shop law Illinois insurance disputes Des Plaines criminal attorney Schaumburg elder law lawyer Long Grove real estate attorney Palatine business attorney Des Plaines medical malpractice attorney Joliet general practice lawyers eluding a police officer Rolling Meadows estate planning attorney Chicago biking tips Deer Park criminal attorney Illinois estate planning Buffalo Grove traffic attorney traffic violations bicycle accidents texting and driving Chicago insurance claim attorneys Illinois car accident attorney Illinois Transfer on Death Instrument low-ball insurance settlement digital media accounts, estate planning, Arlington Heights estate planning attorney, new real estate form dog bites Illinois probate lawyer sexual images traffic accidents consent to a search Attorney Ken Apicella texting while driving Inverness injury lawyer Schaumburg employment law attorneys cell phone Illinois job attorney Barrington real estate lawyer rollover accidents Jay Andrew fiduciary rule delay Des Plaines drug crimes lawyer elder abuse Barrington boating accident attorney clemency Long Grove real estate lawyer Thanksgiving motorcycle accident traffic violations defense Schaumburg estate planning lawyer Arlington Heights injury attorney insurance claim denial denied insurance claim Arlington Heights TBI attorney medical research car accident head on collisions Barrington civil litigation attorney employment law, meal breaks, rest breaks, hotel employees, Des Plaines employment law attorneys Illinois employment law attorneys Riverwoods estate planning lawyer traffic crimes Transfer on Death Instrument Illinois trucking safety rumble strips BAIID anesthesia errors medical malpractice claims DMV personal injury Barrington criminal lawyer Schaumburg corporate attorney advance healthcare directive POA Rolling Meadows insurance attorney traumatic brain injury Illinois bicycle safety traffic deaths Illinois wrongful termination lawyer TBI Illinois Probate Act of 1975 Chicago insurance law firm Inverness corporate attorney Rolling Meadows insurance lawyer Palatine trusts lawyer Rolling Meadows criminal attorney trucking accidents Crystal Lake medical malpractice law firm license revocation Barrington workers compensation attorney DNR rollover car crashes Rolling Meadows personal injury lawyers trench injuries construction accidents Rolling Meadows insurance dispute lawyers Schaumburg personal injury attorney Whistleblower Claims wrongful termination, employment law, whistleblower protections, Illinois employment laws, discrimination in the workplace insurance dispute distracted driving accident victims medical malpractice workers compensation Kenilworth estate planning attorneys health insurance dispute Arlington Heights wills and trusts lawyers senior citizens insurance denial appeals Arlington Heights wills and trusts lawyer landlord tenant law Illinois jet ski accident lawyer Buffalo Grove personal injury attorney wrongful death Crystal Lake pet attorney cell phone tower data Illinois registered agent sole proprietorship Rolling Meadows medical malpractice lawyers living trust vs will School Visitation Rights Act Schaumburg traffic lawyer insurance claim dispute attorney jet ski accidents criminal defense Rolling Meadows boating crash lawyer investment property personal injury accidents Des Plaines real estate lawyer civil litigation attorney CAM workers comp murder charges Illinois workers compensation attorney Buffalo Grove real estate attorney hiring employees Schaumburg estate attorney Illinois speeding lawyer job lawyers fault based insurance car crash injuries Rolling Meadows Traffic Lawyer Crystal Lake injury attorney Buffalo Grove car accident lawyer vacation home DUI penalities denied insurance claims Arlington Heights employment law attorneys Forcible Entry breach of contract Deer Park medical malpractice attorney Long Grove estate planning severance agreements wage theft life insurance policy Illinois employee rights attorney. Illinois employment laws Arlington Heights personal injury lawyer slip and fall accidents social media after death insurance agents Illinois insurance attorney real estate leasing startup company Food and Drug Administration's Food Safety Modernization Act digital assets, digital fiduciary, estate planning, digital content, Long Grove estate planning lawyers reckless homicide Long Grove estate planning attorney overtime violations license reinstatement healthcare Schaumburg employment attorney Illinois law Illinois personal injury attorney fees Barrington attorney guardianship attorney