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CORPORATE TAX

Friday, Eldredge & Clark is the leading tax firm in Arkansas. The focus on tax law is central to our full range of legal counseling because we recognize that any business transaction whether simple or complex, has potentially significant tax consequences. When advising on your business affairs, our firm offers sophisticated and personalized tax counseling on federal, state and local taxation to maximize your tax benefits.

Because every level of government has its own tax objectives, organization, statutes, and regulations, the rules change constantly, and interpreting them takes skill and insight. We know that your real tax law objective is finding every legitimate way to minimize tax impact and to maximize your advantages to achieve your financial objectives. Whether you are a tax-exempt organization, an investor seeking to maximize tax credits, a company needing guidance on tax compliance for benefit plans or business transactions, or anyone facing a tax audit or controversy, our firm has the full resources to help you.

Focused on Services

Business Tax Planning - Choosing the right business entity form to minimize taxes is the foundation of business tax planning. Lawyers from our firm wrote the Arkansas Limited Liability Company Act (also called the Small Business Entity Tax Pass-Through Act) in the 1990s, and we fully understand how its provisions apply to your business interests. We help you evaluate whether a limited liability company (LLC) or partnership (LLP), an S Corporation, C Corporation, or some other vehicle is the best way for you to meet your growth and financing needs while maximizing tax advantages, then help you create the appropriate management and organizational structure. You also get current advice on issues involving the Arkansas exemption tax, ad valorem property taxes, and the various intangibles taxes and transfer taxes. We are always alert to creative entity variations that meet any business tax planning need.

Most business transactions have potentially adverse tax consequences if not properly structured, so we help business clients — including individuals who own businesses–structure transactions to maximize business and tax benefits and to avoid problems. If you are a company owner or chief executive, we offer you sophisticated solutions for complex tax challenges in structuring like-kind exchanges, tax-efficient real estate transactions, and tax-free reorganizations. That includes sophisticated variations like reverse like-kind exchanges.

State and Local Tax - As the leading tax law firm in Arkansas, we have an excellent reputation and working relationship with the Revenue Division of the Arkansas Department of Finance and Administration. Whether your concerns involve personal or business taxation, you benefit from the fact that lawyers from our firm have helped shape state tax law by working directly with administrative and legislative taxing officials. A good example is our efforts in restructuring the state manufacturing tax exemption on tangible personal property used directly in manufacturing so that it achieves the necessary public policy objectives while supporting the competitiveness of some of the state’s largest business entities. We also have other unique strengths that reflect our knowledge of the state tax code, such as unquestioned leadership in the issuance of tax-exempt Arkansas school bonds.

At the local level we excel at helping you with tax issues that particularly relate to real estate transactions, such as reducing tax burdens through the use of like-kind exchanges. When necessary, we can challenge local tax assessments on your behalf, particularly if there is a need to challenge a contingency ad valorem property tax assessment. Other state or local tax controversies that we can handle for you include sales and use tax audits and disputes.

Tax Controversies - Corporations, small businesses, nonprofit organizations and individuals seek our help when faced with an audit by the Internal Revenue Service or the Arkansas Department of Finance and Administration, or where the IRS or state and local authorities are attempting to collect a tax assessment. You will get an effective defense in audit disputes and appeals, administrative hearings before the IRS and state and local taxing authorities, and in negotiations with tax officials thanks to an approach that combines a willingness to litigate with the skill to work out a negotiated settlement. Our lawyers have practical familiarity with the accounting and business issues, as well as the tax code issues that shape controversies and use that knowledge to reach effective resolutions on your behalf.

We have litigated tax controversies before Arkansas taxing authorities, as well as in the state courts and before the U.S. Tax Court. However, our solid working relationships with appeals officers of the IRS, the revenue division of the Arkansas Department of Finance and Administration and numerous local property tax boards frequently enable us to resolve a tax controversy for our clients short of the trial level.

State Audits and Appeals - Our tax practice in Arkansas is unsurpassed for our ability to handle audits, appeals, collection matters, and civil and criminal tax litigation. Given our strong working relationships with state tax officials, we frequently can make the kind of direct contacts that get results to handle sales and use tax audits and disputes and challenges to contingency ad valorem property tax assessments. If you are a manufacturer seeking an exemption entitlement under the state’s laws applying to manufacture, we are experienced and can help.

Federal Audits and Appeals - At the federal level, you get the benefit of our experience and thorough familiarity with the procedures of the IRS to reduce proposed tax assessments, abate or waive penalties, obtain private letter rulings and other formal and informal advice, advise on IRS demands for documents and other information, and negotiate offers in compromise, lien releases, and payment plans, and other administrative solutions to your tax problems. With the leading employee benefits law practice in the state (encompassing work on more than 1,000 benefit plans), we excel at ensuring that your benefit plan provisions are in full compliance with IRS and Department of Labor tax regulations.

Focused on our Team

Our tax department is the largest and most experienced in Arkansas with 30 attorneys and an impressive total of more than 700 years of experience. Our tax attorneys are focused exclusively on a specific area of tax law and devoted to the industry. Eighty percent (24) of the firm’s tax attorneys have earned their Masters in Tax Law degrees and many are inactive certified public accountants. Six attorneys have been selected as Fellows in the prestigious American College of Trust & Estate Counsel and the firm has the only two Arkansans who are Fellows of the American College of Tax Counsel. Our tax department also includes the only attorney in the state, and one of only 65 in the country, invited to be a member of the National Association of Property Tax Attorneys. The group’s attorneys are recognized by The Best Lawyers in America (17)Chambers USA (9) and Mid-South Super Lawyers (14), for their work in their perspective area of tax law. 

Friday, Eldredge & Clark holds two seminars each year devoted to educating CPAs on the most recent updates in tax law. Additionally, many of the firm’s attorneys participate in training seminars through the Arkansas State Chamber of Commerce, the Arkansas Society of Certified Public Accounts and other industry-related events.

 

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