Virgin Islands Law Blog

Virgin Islands Law Blog

U.S. Virgin Islands law & politics

Category Archives: Tax & Estate Planning

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Determining Eligibility for EDC Tax Incentives in the US Virgin Islands

Posted in Government Relations, Tax & Estate Planning
Are you wondering whether you qualify to receive benefits from the Economic Development Commission in the U.S. Virgin Islands? To be considered eligible for benefits, applicants must meet the following requirements: Invest a minimum of $100,000 outside of their inventory in a business or industry that is determined to advance the best interest of the… Continue Reading

The Economic Impact of President Trump’s Proposed Tax Plan on the US Virgin Islands

Posted in Government Relations, Tax & Estate Planning
During his campaign, President Donald Trump put forth a tax plan that would cap itemized deductions, barring single people from deducting more than $100,000 and preventing couples from deducting more than $200,000. This proposal would help raise more than $1 trillion over the course of a decade. However, according to the Tax Policy Center, the… Continue Reading

Are HOA’s Required to File Tax Returns?

Posted in Real Estate, Tax & Estate Planning
Homeowners, condominium and timeshare associations (“Associations”) often make the mistake of not filing tax returns based on the belief that they are exempt from having to do so.  However, Associations are required to file tax returns like any other corporation, even if they’re not-for-profit. Fortunately, most Associations don’t have much, if any, tax liability.  This… Continue Reading

Several Factors May Result in a Challenge to a Will

Posted in Tax & Estate Planning
Challenging a will is often a very difficult process. An overwhelming majority of wills go through the probate process without much problem, which means their validity is verified. Unless there are unusual circumstances, court officials aim to have wills go through just as the testator intended. There are some circumstances, however, in which an individual… Continue Reading

The Requirements for Recording a Deed Executed in a Foreign Country

Posted in Real Estate, Tax & Estate Planning
Grantors of U.S. Virgin Islands real property executing a deed in a foreign country may face additional legal hurdles in conveying property. Although the basic steps remain the same as for a deed executed within the Territory, there are important differences that should be noted.  These include: (i) the formalities that must be present during… Continue Reading

US Tax Law Changes Take Hold in 2016

Posted in Tax & Estate Planning
With tax season now in full swing, businesses of all shapes and sizes are in the process of ensuring their books are in order and consulting their tax accountants and attorneys to be certain their practices and policies are in line with the law. This year, they also have a number of new legal changes… Continue Reading

Audit Prevention: Preparing Your Business Taxes as Effectively as Possible

Posted in Corporate & Financial Services, Tax & Estate Planning
Tax season is officially here, and individuals ranging from small business owners to top executives at the largest corporations are thinking about business taxes. It might not be the time of the year you mark on your calendar with a big smiley face—but it’s important nonetheless. How you are feeling about upcoming tax deadlines may… Continue Reading

E-Commerce: Know the Legal Way to Sell Products Online

Posted in Corporate & Financial Services, International, Tax & Estate Planning
With so much business either originating online or migrating there from brick-and-mortar establishments, the possibility of conducting transactions via the Internet is opening up a whole new world for entrepreneurs and business owners on a global scale. Whether you’re selling products or services, having the ability to sell your goods online makes it possible to… Continue Reading

What are Constructive Dividends?

Posted in Tax & Estate Planning
No one wants to pay more taxes, including corporations. When a corporation turns a profit, portions will often be distributed to shareholders in amounts based on the total number of shares each individual holds—in addition to reinvesting some of the funds in the business itself. These distributions are called dividends (this classification applies to any… Continue Reading

Managing a Business Tax Audit from the BIR

Posted in Tax & Estate Planning
There are few words that strike fear in the minds of U.S. Virgin Islands business owners more than these two: “tax audit.” Thus, it’s a priority for most entrepreneurs and business owners to avoid, at all costs, an audit from the U.S. Virgin Islands Bureau of Internal Revenue. Although the odds of being audited by… Continue Reading