The business would enter into either a consulting agreement or a deferred compensation agreement.
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Bonus payments, however, represent deferred compensation, and deferred compensation is generally not deductible until it is paid.
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These sums can include deferred compensation and one-time bonuses and might be for a different fiscal year.
The government says it is still investigating whether these plans qualify as insurance or are impermissible deferred compensation schemes.
Section 457 deferred compensation plans offered to governmental employees are an investment backwater.
Interest paid to an employee by an employer under a nonqualified deferred compensation plan is not considered net investment income.
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Deferred compensation plans, meant as retention incentives, give executives a lump sum after a specified number of years on the job.
We know the League and the NFLPA have all the sophisticated legal resources to draft complex insurance, deferred compensation and trust agreements.
Areas that tend to gum up the works: asset sales, perks (such as tax-free public transit cards), tax-free transactions, outside partnership income and deferred compensation.
Deferred compensation, suspensions for performance enhancing substances and inflated salaries run the gamut of short and long term liabilities that franchises consistently encounter.
For the sake of the experiment, the researchers promised immediate compensation to some participants and deferred compensation to others, regardless of the incentive scheme.
He says stock options--which are not subject to the deferred compensation cap--could be one way to make up for the cap on deferred revenue.
Section 457 deferred compensation plans, like 401(k)s, are defined contribution plans where the employee chooses from a menu of investment options predetermined by his employer.
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In fact, virtually any kind of deferred compensation arrangement is covered.
The law is far-reaching and will impact virtually all nonqualified deferred compensation plans as well as other not so obvious plans, such as discounted stock option plans.
In 2006, much of the client's wealth was tied up in Freddie Mac shares and "deferred compensation, " or pay that has been put off until a future date.
As for types of plans covered, the law takes an expansive view of deferred compensation plans--the likely intent being to make sure that the exceptions don't swallow the rule.
He says the deal will be dilutive to GAAP earnings per share by one penny (because of nonrecurring charges related to deferred compensation), and accretive to pro-forma earnings in 2004.
In 1978, Congress amended the Internal Revenue Code by adding section 401(k), whereby employees are not taxed on income they choose to receive as deferred compensation rather than direct compensation.
Most senior traders of this type were paid a percentage of the profits they made, with deferred compensation usually comprising a mix of cash and stock paid out over three years.
Stock options and deferred compensation require special handling since, if you move, your old state might pursue you for taxes on these--particularly if that old state is New York or California.
The IRS has a claim on the deferred compensation.
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Because X Co. intends to pay the 2012 accrued bonus liability prior to March 15, 2013, the payments will not be treated as deferred compensation, and thus satisfy the economic performance test.
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They've been pushing everything from hidden offshore accounts, bogus domestic trusts and discredited "tax protester" arguments (say, that the income tax isn't legal) to abusive insurance, deferred compensation and charitable deduction schemes.
And in the last couple years, many of them saw a hefty chunk of their deferred compensation practically disappear when their company stock hit rock bottom during the onset of the financial crisis.
In the case of Alex Rodriguez, issues have already developed with deferred compensation, legitimacy of performance, marketing agreements based on home run milestones, signing bonuses and compensation in the latter years of the contract.
The Associated Press formula for determining an executive's total compensation calculates salary, bonuses, perquisites, above-market interest that the company pays on deferred compensation and the estimated value of stock and stock options awarded during the year.
The Mets have initiated the interpleader in order to ensure that the disputed deferred compensation funds are given to those that are properly entitled to it and to ensure that they are protected from further liability.
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