Finance, Investments, and Accounting
The current state of the law regarding captives in the US Tax Court is important for micro-captive owners as they consider what approach to take going forward. A thorough review of the captive program can help establish an informed basis for decision-making both before and during an Internal Revenue Service (IRS) audit.
A captive is an insurance or reinsurance company set up exclusively to insure or reinsure the risks of the group to which it belongs. A captive insurer may operate as a direct insurer or a reinsurer. Read on to find out more about how captive insurers use reinsurance.
We provide a review and analysis of the latest white paper from Johnson Lambert and Spring Consulting Group on cell captives. Our review highlights some of the key concepts from the report and offers guidance on what to look for.
Bruce Wright, partner at Eversheds Sutherland (US) LLP, discusses section 953(d) of the Internal Revenue Code.
For the fifth consecutive year, abusive micro-captive insurance companies found their way to the Internal Revenue Service (IRS) annual "Dirty Dozen" listing. Where last year's listing told taxpayers to be wary, the IRS uses a more aggressive tone in the 2019 listing.