Frederich E. Liechti & Associates, PC

Charitable Giving Outright Charitable Gift: Is a direct gift of money or other property donated to a IRS recognized charity Charitable Remainder Trust: The Trust donor is entitled to a charitable deduction for income, gift and estate tax purposes for the present value of the remainder interest given to charity ... Charitable Lead Trust: A Charitable Lead Trust is an irrevocable Trust which provides an income interest (an annual payment) to a charity for a period of years, after which the remainder passes to the non-charity beneficiaries

The Pennsylvania Department of Revenue issued a notice explaining how to apply IRS Section 179 expense to treat PA depreciable business property. A 179 expense is allowable only to the extent allowable for federal tax purposes but is limited to $25,000 but watch for property costing more than $225,000- no expense deduction is allowable if the total cost of Section 179 property equals or exceeds $225,000. Also note that when the PA basis differs from federal, PA requires that straight line depreciation be used on that asset. PA Informational Notice Personal Income Tax 2012-05.

Taxpayer who changed his driver's license & voter registration still did not prove his change of residence from PA to Florida. Hvizdak v. PA, Pa. Cmw. Ct., 833 F.R. 2008.

Generation Skipping Tax: IRS Code Section 2601 imposes a tax on every generation-skipping transfer whether it is a (1) a taxable distribution, (2) a taxable termination, and (3) a direct skip.