Wisconsin has become the 37th state to do away with the so-called “Deadman’s Statute” after a November ruling by the State Supreme Court repealed the 158-year-old law. The intent of the statute was to prevent “interested parties”—anyone with a stake in the outcome of estate litigation—from testifying about conversations they had with a deceased or incompetent person.
The law (Wis. Stat. §§ 885.16 and 885.17) was considered by many to be an outdated relic, confusing, often unfair and sporadically enforced. The motivation behind the law was the idea that a witness who stood to gain a piece of a decedent’s estate could easily make fraudulent claims about conversations had with the now-dead person, who was of course unable to respond or contradict anything the witness said. Continue reading
The growing popularity of drones in the U.S. and around the world has regulators, businesses and every day enthusiasts all scrambling to understand what these unmanned vehicles are capable of and the roles they may play in our daily lives. With corporations openly stating their intent to use drones for everything from delivering packages to supplying internet connectivity, and private citizens buying them for recreational use, the law is having a difficult time trying to keep up with these fast-moving devices.
Near-Misses on the Rise
As drone usage has surged over the last half decade, so has the frequency of dangerous incidents in which they have been involved. On November 14, in the skies above Toronto, a Canadian airliner with 54 people aboard had to use evasive maneuvers to avoid a drone, injuring two crew members in the process. In April, a British Airways aircraft collided with a drone as it prepared to land at London’s Heathrow Airport; fortunately no one was hurt. The FAA indicates there are 3.5 near-misses between drones and aircraft every day in U.S. airspace alone. Continue reading
When one family member lends money to another, both parties often believe that the deal they make is just between the two of them. But in the eyes of legal and tax authorities, the lending business is just that—a business. These seemingly private activities can come with some very business-like strings attached.
Here you’ll learn a few items that you should keep in mind if and when you decide to make a loan to a family member, friend or some other individual in your life.
Think About How the IRS Treats Interest
In a deal between relatives or friends, the “lender” sometimes decides not to charge interest on the loan. Perhaps the loan amount is small, or perhaps there is a feeling of ill will that parties tie to the thought of interest.
But if you do not charge interest, or if you charge a rate lower than something called the Applicable Federal Rate (AFR), be prepared for tax consequences. The IRS will tax the maker of the loan on the amount of interest that the lender should have charged. Continue reading