TAX ALERT- OFF SHORE ACCOUNTS: In light of recent developments involving UBS, HSBC, Credit Suisse, Julius Baer, and other foreign financial institutions, any U.S. person with undeclared foreign accounts should seek counsel. Caplin & Drysdale attorneys have extensive experience in handling matters arising from the U.S. government's recent crackdown on undeclared foreign accounts, both defending taxpayers in criminal tax investigations and in sensitive civil audits, and in advising them regarding voluntary disclosures. Caplin attorneys have successfully handled issues presented by complex undisclosed corporate or foundation structures, unfiled Treasury “FBAR” forms, and U.S. citizens living overseas. For assistance, please contact one of our attorneys: Niles A. Elber, James N. Mastracchio, Scott D. Michel, Cono R. Namorato, Michael G. Pfeifer, Christopher S. Rizek, H. David Rosenbloom and Richard E. Timbie. Click here for more information.
POLITICAL LAW ALERT: The Supreme Court decision in Citizens United v. FEC removes the legal prohibition on "independent expenditures" by corporations, but does not alter the legal ban on corporate contributions to federal candidates and party committees.
This outcome allows corporations to fund independent media communications (e.g., radio, tv, internet, mail) expressly advocating the election or defeat of candidates (i.e., "Vote for Smith," "Defeat Jones," etc.), but leaves in place the prohibitions against direct corporate contributions to candidates or party committees. Corporate sponsorship of such communications must be disclosed.
Accordingly, the decision does not immediately impact the use of corporate PACs to make federal campaign contributions, and does not otherwise impact the "soft money" limitations of the McCain-Feingold Act. Finally, we believe Congress is likely to explore avenues for limiting portions of this decision, and thus corporations--especially goverment contractors, foreign entities, and lobbyist employers--should remain watchful in the months ahead. Please contact Caplin & Drysdale's political activity law practice if you have any questions: Trevor Potter, Kirk L. Jowers, Joseph M. Birkenstock, Stacy Q. Cline, Matthew T. Sanderson, and Kristy Tsadick. |