Business entities are usually established to limit liability, keep the business efficient and organize the structure of the entity. It’s fairly easy to establish a business entity in the state of Ohio, and there are essentially three requirements to effectively terminate a business entity’s existence: tell the state, complete unfinished business and tell the IRS.
General powers of attorney typically are regarding finances, and a principal gives powers to an agent. In each power of attorney, one or more specific people are named as the agents. It can be incredibly difficult for people to decide upon who should be their agent, especially when adult children are involved. Hard feelings can certainly come up, and often principals try to identify their agents while keeping this potential friction in mind.
It’s necessary that pieces of property must have the ownership clearly outlined. This is true in LLCs (is the property owned by the LLC or the individual?) as well as in partnerships. It’s important to define which assets that a business entity owns and which assets are owned by another entity or personally.
Often when people make a purchase, over time it appreciates in value. When that item is sold, the government taxes on the increase in the value of the property. The tax that is assessed is called capital gains tax. Sometimes capital gains taxes discourage people from selling property as they don’t want to pay the capital gains tax. As a result of this, the government has a process that will sometimes allow for for capital gains taxes to be delayed.