What is trader versus investor status, and why is this important? For hedge fund managers actively managing a fund, or investors in that fund, this classification is critically important as it can determine whether expenses related to fund activity are deductible or nondeductible. Prior to the passage of the Tax Cuts and Jobs Act (TCJA) of 2017, investors could deduct portfolio expenses, such as management fees, professional fees, and similar costs, but only to the extent those deductions exceeded 2% of the taxpayer's adjusted gross income (AGI). Under the TCJA, these expenses became fully nondeductible beginning in 2018. Initially, this provision was scheduled to expire after 2025, at which point the 2% limitation rules would have returned.

Andersen Global enters into a Collaboration Agreement with Beech Incorporated, a legal firm based in South Africa, broadening its legal capabilities in the region.

Family offices are increasingly sophisticated in how they structure compensation and investment participation for key employees. One of the most powerful and nuanced tools in that toolkit is the special purpose vehicle, or SPV. When deployed thoughtfully, an SPV allows a family office to give employees direct economic exposure to a specific investment opportunity, mirroring the economics the principal enjoys, while maintaining clean ownership architecture and managing cash flow in a disciplined way.

For the Record, Andersen’s official newsletter, covers a variety of tax and financial topics relevant to both individuals and corporations.

Sports franchise values have reached record levels and the factors driving those valuations have evolved significantly. According to Forbes' annual franchise rankings, several professional sports teams now have valuations approaching or exceeding $10 billion. While scarcity, league economics, and fan loyalty remain important drivers, media rights, digital engagement, and global brand monetization increasingly influence how investors and advisors assess value.

Family offices are built to do two things well: protect the family’s privacy and execute across a web of entities, accounts, and advisers without friction. Cybersecurity touches on both these goals. One compromised inbox can undo decades of discretion. One manipulated wire request can turn a routine Tuesday into a problem the family reads about in a court filing. The family offices that treat cybersecurity as stewardship, the same duty that governs how they handle the family’s capital, records, and name, are the ones that successfully navigate these issues.

Andersen Managing Director Joe Calianno will moderate a panel at the USA Branch of the International Fiscal Association’s 7th Annual Virtual International Tax Conference on September 17-18, 2026. On September 18, Joe will be the moderator for the panel session Traps for the Unwary. The panel will highlight common traps for the unwary relating to cross-border transactions and structures, provide practical examples, and explore planning considerations that may help taxpayers avoid costly mistakes.

New York has enacted a new annual surcharge on certain high-value residential properties in New York City that are not used as primary residences. The surcharge applies beginning with the New York City fiscal year that starts July 1, 2026. The New York City Department of Finance (DOF) began its implementation and enforcement of the Pied-á-Terre tax on July 23, 2026, with the mailing of over 31,000 notices to property owners throughout the five boroughs. The DOF originally set late-August 2026 deadlines to file an appeal but extended the deadline to September 18, 2026. An ensuing lawsuit brought by impacted homeowners has created uncertainty regarding enforcement of the tax, but taxpayers should be prepared for any outcome.

The One Big Beautiful Bill Act (OBBBA) created Trump Accounts under new Internal Revenue Code Sec. 530A—custodial IRAs for children who have not reached age 18 with specific tax rules, contribution limits, and withdrawal options. Since the OBBBA was enacted, Treasury and IRS have issued a series of guidance addressing how Trump Accounts will operate in practice.