Tag Archives: 162(m)

Incentive Plans and Shareholder Approval After Tax Reform

This article originally appeared in Law360. Companies have had a lot to digest since the passage of the Tax Cuts and Jobs Act (the “TJCA”) late last year.  But for executive compensation attorneys and professionals who work with or advise public companies, the elimination of the tax deduction for performance-based compensation under section 162(m) of … Continue Reading

Significant Reductions to Deductible Pay at Public Companies

Part of Our Series on the Tax Cuts and Jobs Act of 2017 Employers generally may deduct reasonable salaries and other compensation paid to their employees. However, section 162(m) of the Internal Revenue Code imposes a $1 million annual limit on the amount of compensation that a publicly held corporation can deduct with respect to … Continue Reading

Accelerating Compensation into 2012 to Avoid 2013 Tax Increases

If widespread news reports are any indication, many people—employers and employees alike—are thinking about increased taxes in 2013 and what can be done to minimize their impact. Some tax increases in 2013 are a sure thing.  For example, the employee share of Medicare taxes will increase to 2.35% for wages in excess of $250,000 (for … Continue Reading
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