Sotto III's SALN showed P129,051,804.30 in assets, P58,931,104 in liabilities
for net worth amounting to P70,120,700.30.
If the disregarded entity has a payment obligation for more than one partnership liability, the partnership must allocate net value among the partnership's liabilities
in a reasonable and consistent manner, taking into account their relative priorities.
"But other measures, or a mix of measures, can have as much or more relevance than fair value, depending on the nature and circumstances of the assets and liabilities
being analyzed, and the type of analysis that you are doing," he explains.
The LLC was designated as an Additional Insured, so it was covered for both known and unknown environmental liabilities
The proposed Interpretation, which would substantially modify FAS 109, (1) provides a theoretical approach for the consistent determination and reporting of income tax liabilities
, assets, and expense relating to uncertain tax positions.
Standards of Governmental Accounting and Financial Reporting/3-21 Scope and Applicability of This Statement/3-7 Measurement and Recognition of Termination Benefits/8-17 Measurement/9-11 Healthcare-Related Termination Benefits/9 Non-Healthcare-Related Termination Benefits/10-11 Recognition of Termination Benefit Liabilities
and Expense in Accrual Basis Financial Statements/12-15 Recognition of Termination Benefit Liabilities
and Expenditures in Modified Accrual Basis Financial Statements/16 Effects of a Termination Benefit on an Employer's Defined Benefit Pension or Other Postemployment Benefit Obligations/17
Conditional Reserves: Represents the aggregate of various reserves, which are treated as liabilities
. Such reserves include unauthorized reinsurance, excess of statutory loss reserves over statement reserves, dividends to policy-holders undeclared, and other similar reserves established voluntarily or in compliance with statutory regulations.
These terms can not only overstate the value of the facility, but can lead to serious civil and criminal liabilities
If the transferred assets are a type that might have intrinsic liabilities
(e.g., inventory that is subject to product liability considerations), such liabilities
may attach to the purchasing organization; but other general legal liability, such as contract performance, shareholder liabilities
, and remain in the original organization.
Pros: Both protect principals from legal and financial liabilities
and provide the pass-through tax benefit--income is generally taxed only once.
FAS 156 requires all separately recognized servicing assets and servicing liabilities
to be initially measured at fair value, if practicable.
The Fifth Circuit held the proper valuation of the plans to be the FMV of the marketable securities held (as determined by reference to applicable securities rates and the date of the decedent's death), but did not include a discount for associated income tax liabilities