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


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