Simply Tax® Episode 132: Is Section 1202 Through?
Internal Revenue Code (IRC) Section 1202 provides a meaningful exclusion for the gains from the sale of qualified small business stock (QSBS). Guest Rick Klahsen returns to the podcast with host Damien Martin to revisit how the enactment of the Tax Cuts and Jobs Act (TCJA) impacted this powerful opportunity and explore what proposed changes might mean for its future. Here’s what they cover:
- How to describe IRC §1202 at a cocktail party @02:39
- Challenges to overcome and hoops to jump through @03:40
- Protecting your QSBS @06:11
- Planning ideas and opportunities @07:43
- What is IRC §1045 and why is it seemingly ignored? @13:48
- QSBS after TCJA @17:27
- Is IRC §1202 at risk? @19:35
- Key considerations to position yourself for IRC §1202 @21:57
- A surprising aspect of IRC §1202 @24:05
- Keep an open mind when investing and planning for QSBS @25:27
MORE ABOUT OUR GUEST
Rick Klahsen has more than 30 years of experience advising clients in various industries, including several investor-owned public utilities, food manufacturers and distributors, automobile original equipment manufacturers, and telecommunications service providers. He also has significant experience with federal tax due diligence and matters related to structuring transactions. He currently serves as tax director of BKD’s Oklahoma practice unit, with previous experience as regional tax director of BKD’s South Region and tax director of BKD’s Dallas-Waco practice unit.
- BKD Articles
- Tax Savings Opportunities with Qualified Small Business Stock (July 26, 2021)
- House Ways & Means Committee Proposes Tax Increases (September 13, 2021)
- Effect of Potential Higher Capital Gains Rates on M&A Transactions (October 7, 2021)
- Previous Simply Tax Episodes
- Episode 26: Is Section 1202 for You? (May 9, 2018)
- Episode 51: Choice of Entity for Family Businesses Part I (January 14, 2019)
- Episode 52: Choice of Entity for Family Businesses Part II (January 14, 2019)
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