Considerations for stock redemption in divorce

03/15/2013 | Tax Insider

Divorcing couples who own closely held businesses must structure settlements carefully to ensure the business' cash and assets are fairly divided, writes Donald DeGrazia, CPA/ABV/CFF, partner at Gold Gerstein Group. Tax-planning considerations also are important so one spouse is not deemed to have received a constructive dividend. Section 1041 governs transfer between spouses in a divorce; however, conflicts can arise in four scenarios.

View Full Article in:

Tax Insider