Taxation of entertainers, athletes, and artists

Lionel S. Sobel Lon Sobel is the past Chair of the ABA Forum on the Entertainment & Sports Industries. He is now a Visiting Professor at UCLA School of Law where he teaches a course on the taxation of entertainers, athletes, and artists. Previously, he was a Professor at Southwestern Law School and Loyola Law School where he taught courses on personal income tax, business income tax, and entertainment law. He has testified as an expert witness before the United States Tax Court in a case involving international intellectual property licensing practices in the motion picture, music, and computer software industries. Book jacket.

• Chapter 1 Introduction p. 1
• Wesley and Willie p. 1
• Tax Planning p. 3
• Tax Law's Complexity p. 8
• This Book's Organization and Editing Style p. 9
• Part I U.S. Domestic Taxation of Entertainers, Athletes, and Artists
• Chapter 2 Income p. 13
• The General Rule p. 14
• Income of All Kinds p. 14
• Earned Worldwide, by U.S. Citizens (and Some Aliens Too) p. 42
• Related Issues to Be Covered Later p. 44
• Chapter 3 Deductions and Credits p. 47
• What Kinds of Expenses Are Deductible, and Who May Deduct Them? p. 49
• Where on the Income Tax Return Is a Particular Expense Deducted? p. 81
• Why Does It Matter "Where" on the Tax Return an Expense Is Deducted? p. 88
• When Is a Particular Expense Deductible? p. 93
• Credits p. 107
• Chapter 4 Tax Year and Cash or Accrual Accounting p. 109
• Tax Year p. 109
• Cash or Accrual Accounting p. 110
• Chapter 5 Tax Rates and Taxes Payable p. 115
• Income Tax p. 115
• Capital Gains p. 118
• Alternative Minimum Tax p. 120
• Social Security and Medicare Taxes p. 124
• Chapter 6 Tax Withholding p. 127
• Withholding from Wages Earned by U.S. Citizens and Resident Aliens p. 131
• Avoiding, or at Least Minimizing, Double Taxation and Redundant Withholding p. 135
• Chapter 7 Employee, Independent Contractor or Partner p. 137
• Employee or Independent Contractor p. 138
• Independent Contractor or Partner p. 149
• Chapter 8 Loan-Out Corporations p. 155
• What Is a Loan-Out Corporation? p. 158
• Benefits of Using a Loan-Out Corporation p. 159
• Burdens and Risks p. 180
• Chapter 9 Deferred and Contingent Compensation p. 201
• Deferred Compensation and the Enactment of Internal Revenue Code § 409A p. 201
• Does § 409A Apply to the Compensation Arrangement? p. 207
• Does the Plan Comply with § 409A's Requirements? p. 230
• Are Corrections Possible? p. 248
• What Are the Consequences of Failing to Comply? p. 254
• Part II International Taxation of Entertainers, Athletes, and Artists p. 259
• Chapter 10 U.S. Taxation of Foreign Entertainers, Athletes, and Artists p. 259
• IRS Classification of Taxpayers p. 261
• U.S. Taxation of Personal Service Income of Nonresident Aliens p. 268
• U.S. Taxation of Royalty Income of Nonresident Aliens p. 283
• U.S. Taxation of Income from the Sale of Artworks by Nonresident Aliens p. 293
• Use of Loan-Out Corporations in the United States by Nonresident Aliens p. 297
• Chapter 11 Foreign Taxation of American Entertainers, Athletes, and Artists p. 305
• The Possibility of Double Taxation of Foreign Source Income p. 305
• U.S. Law Remedies to Reduce or Eliminate Double Taxation p. 306
• Selecting the Remedy That Saves the Most p. 318
• Chapter 12 Tax Treaties p. 323
• Tax Conventions p. 323
• Residency p. 328
• Royalty Income p. 333
• Personal Service Income p. 336
• Income Earned by Entertainers and Athletes p. 340
• Distinguishing and Allocating between Royalties and Artistes/Athletes Income p. 348
• Chapter 13 Endorsement Income p. 349
• U.K. Taxation of Endorsement Income of Nonresident Alien Entertainers p. 350
• U.S. Taxation of Endorsement Income of Nonresident Alien Entertainers p. 355
• Chapter 14 Tax Indemnity Agreements p. 373
• Index p. 377