ESOP valuations: does Farnum still live? (employee stock ownership plan purchases of company stock objected to by Labor Department): An article from: The Tax Adviser

This digital document is an article from The Tax Adviser, published by American Institute of CPA's on October 1, 1992. The length of the article is 494 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available in your Amazon.com Digital Locker immediately after purchase. You can view it with any web browser.

From the supplier: A challenge to a leveraged purchase of company stock by an employee stock ownership plan (ESOP) by the Labor Department (DOL) has remained an issue even though the DOL dropped the case. The Farnum case was over the possible cash drain on the ESOP by repaying the loan. The IRS has taken up this theory, even though the DOL claims to have rejected it. This policy could have a chilling effect on leveraged ESOP purchases.

Citation Details
Title: ESOP valuations: does Farnum still live? (employee stock ownership plan purchases of company stock objected to by Labor Department)
Author: Louis H. Diamond
Publication:The Tax Adviser (Magazine/Journal)
Date: October 1, 1992
Publisher: American Institute of CPA's
Volume: 23 Issue: n10 Page: 658(2)

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