BW INSIGHTS

ESOP Eligibility: Who’s In, and Who’s Out?

By Cynthia Boyle Lande & Drew D. Larson | 08.14.2024

Employee Stock Ownership Plans (ESOPs) offer unique opportunities for employees to become owners of their company and share in its success. Understanding the rules surrounding ESOP eligibility and properly determining which employees are eligible for participation are crucial for sponsoring employers. In this client update, we will outline the... Read More

DOL FIDUCIARY RULE STAYED INDEFINITELY

By Caleb J. Brus & Cynthia Boyle Lande | 07.29.2024

A federal judge in Texas has temporarily blocked the Department of Labor’s (“DOL”) “Retirement Security Rule” (the Fiduciary Rule) ahead of its September 23, 2024, effective date. BACKGROUND ON THE FIDUCIARY RULE The DOL has been on a fourteen-year quest to replace a fiduciary definition in place since 1975. The saga began in 2010, but fierce... Read More

IRS Announces Guidance on Basis-Shifting Transactions by Related-Party Partnerships

By Maggie Simonson Schild & Christopher L. Nuss | 07.25.2024

On June 17, 2024, the Internal Revenue Service (IRS) and Treasury announced new guidance aiming to curtail abusive basis-shifting transactions by related-party partnerships. The Treasury and IRS plan to propose regulations targeting transactions in which partners shift basis from one asset to another, thereby increasing the second asset’s basis... Read More

Iowa Livestock Capital Gain Deduction for 2023

By Maggie Simonson Schild & Christopher L. Nuss | 06.18.2024

On May 15, 2024, Governor Reynolds signed into law House File 2649 that provides an Iowa individual income tax deduction for capital gains incurred on the sale of certain livestock. The Iowa livestock capital gain deduction is available retroactively for tax years beginning on or after January 1, 2023. To claim the livestock capital gain... Read More

Tax Relief Due to Recent Severe Weather in Iowa

By Maggie Simonson Schild & Christopher L. Nuss | 06.18.2024

Severe weather has been active across the state of Iowa, affecting individuals and businesses. Governor Reynolds and the Internal Revenue Service have implemented various forms of tax relief for those most affected by severe weather. Iowa Penalty Relief On May 21, 2024, Governor Reynolds issued a Proclamation of Disaster Emergency for the... Read More

Final DOL Fiduciary Rule

By Caleb J. Brus & Cynthia Boyle Lande | 04.26.2024

On April 23, 2024, the Department of Labor (“DOL”) released its new fiduciary investment advice rule titled the “Retirement Security Rule” (the “Fiduciary Rule”). The Final Rule is scheduled to take effect September 22, 2024. The changes to exemptions PTE 2020-02 and PTE 84-24 will have an additional one-year transition period where exemptive... Read More

Government Relations Legislative Update - Week Fourteen

By Matthew H. McKinney & Julie A. Smith | 04.15.2024

On Thursday, the first appropriations bill of the year passed one chamber. Kind of like seeing a robin in winter…you know that sine die (spring) is getting closer. This week also saw a lot of action in subcommittees and Appropriations Committees. Although the Senate and House have agreed within their Chambers on targeted amounts for the various... Read More

Government Relations Legislative Update - Week Thirteen

By Matthew H. McKinney & Julie A. Smith | 04.08.2024

The Senate was busy this week confirming Governor’s Appointees. Confirmations require a two-thirds vote of all Senators. This means that 34 of the 50 must vote to confirm. With 34 Republicans in the Chamber, confirmations were less contentious than they have been in the past. Senators vote to confirm either En Bloc or on an Individual basis. Some... Read More

Government Relations Legislative Update - Week Twelve

By Matthew H. McKinney & Julie A. Smith | 04.01.2024

State Budget. The final stages of the 2024 session took a big step forward on Thursday when House and Senate Leaders released budget targets. The Senate’s target is to limit expenditures to $8.872 billion for Fiscal Year 2025, the House has a higher budget number at $8.955 billion, and the Governor’s budget is at $8.919 billion. The next three... Read More

Government Relations Legislative Update - Week Eleven

By Matthew H. McKinney & Julie A. Smith | 03.25.2024

Week #11 ended with movement on one of the main issues of session, the Area Education Agencies (AEA) bill. One of the major priorities of the Governor, the AEA bill in different forms has passed the Senate once and now the House twice. On Monday, the Senate amended HF 2612, and sent it back to the House with a strike-after amendment. On Thursday,... Read More