For estate and gift tax purposes, think about significantly discounting the value of a dollar when it's held indirectly by a minority investor
Logic dictates that valuation experts assume that cash is worth its face value in majority interest or control scenarios. And that assumption makes sense: In such instances, control of a company provides access to and control over the assets, including cash. But experts fail to see that in minority interest valuations for both private and public companies, a different perspective is required — particularly when excess cash is held within a private operating business. There are many reasons ...
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