tag:blogger.com,1999:blog-6398232680738279469.post2283301780712821970..comments2024-03-12T07:30:17.846-07:00Comments on The Tax Times: Moving Accounts To Non Complying Banks -2012's Loophole?Ronald A. Marini, Esq.http://www.blogger.com/profile/14304486100168506240noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-6398232680738279469.post-41903847657691508312012-01-20T14:13:13.032-08:002012-01-20T14:13:13.032-08:00While the result will surprise a number of non-tax...While the result will surprise a number of non-tax lawyers this has been the law for some time, based upon the Supreme Court's ruling in United States v. Craft, 535 U.S. 234 (2002). I believe the Third Circuit upheld the fifty-fifty split in Popky v. United States, 419 F.3d 242 (3d Cir. 2005).<br /><br />The IRS does have a policy position indicating that it will generally not seek to foreclose on real property held this way in so-called full bar states (Pa is one) if the interest was created prior to the decision in Craft. Notice 2003-60, 2003-2 C.B. 643. Folks who are from partial bar jurisdictions or who acquired real property after the decision in Craft appear to be out of luck.<br /><br />The lesson is that advisers should be rethinking the routine use of married filing jointly filing status. <br />Posted by James RRonald A. Marini, Esq.https://www.blogger.com/profile/14304486100168506240noreply@blogger.com