Join the MACPA Forensic Valuation Committee for a Lunch & Learn Session.
In divorce valuations of business interests, can the value of marital property be greater than the value of property legally owned by the spouse? Can a spouse have a marital property interest in personal goodwill in which the shareholder has no legal interest? This presentation will discuss business valuations involving personal goodwill in divorce cases and review various standards and marital property rules applied around the country. In fair market value appraisals for federal tax purposes, courts have ruled that the corporation does not own the personal goodwill of its shareholders. What effect does that legal conclusion have in making a fair market value appraisal in states, like Maryland, which apply the fair market value standard for divorce purposes? This presentation will review marital property rules of Maryland and other states as they apply to business valuations in divorce cases and discuss the application of generally accepted business valuation principles along with special rules applied in divorce cases.