Advisory

Receivership Services

To effectively support a Receiver, a unique combination of skills is necessary.

Our firm excels in providing advisory and technical tax knowledge, meticulous attention to detail, and the ability to construct financials from limited or nonexistent historical accounting records. Additionally, we bring the forensic skills required to trace funds among a large volume of accounts and investigative skills to discover, track, and value assets, as well as analyze filed claims. The A&C team offers unparalleled experience and expertise to assist Receivers in recovering and distributing assets while meeting compliance filing deadlines in the following categories:

Forensics:

  • Fund Tracing: We compile bank statement activity into a detailed format that facilitates tracking and analysis of fund movements, including intermingling between accounts and tracing funds to other entities or personal accounts.
  • Investigating Allegations of Fraud: With specialized forensic accounting knowledge, we conduct rigorous investigations into fraud allegations within receiverships, analyzing financial records to substantiate claims and support informed decision-making and legal actions.
  • Investigation into Misappropriations and Mismanagement of Investor Funds:
We trace fund flows to identify potential misappropriation and mismanagement of investor funds, ensuring thorough accountability and compliance.
  • Claims Analysis: Our team develops a comprehensive understanding of invested funds, validating investor claims based on initial investments, documentation provided, and subsequent payments. This analysis supports the Receiver’s proposed distribution plan for court approval, including claims against third parties.
    Identification and Liquidation of Assets: We assist in identifying and managing additional receivership assets, providing support in asset liquidation, and determining asset values through detailed research and market analysis as requested.
  • Expert Testimony: Our experienced professionals offer expert testimony in receivership cases, providing credible opinions based on a comprehensive analysis of complex financial and legal issues to support judicial proceedings and dispute resolution.

These services are designed to navigate the intricate challenges of receivership proceedings with expertise, transparency, and diligence, aiming for optimal outcomes for all stakeholders involved.


Tax Services:

Our firm specializes in comprehensive tax services essential for receiverships, ensuring compliance with complex IRS requirements and optimizing tax outcomes for the receivership estate. Our services include:

  • Form 56 – Notice Concerning Fiduciary Relationship: We assist in filing Form 56 to notify the IRS of the establishment or termination of a fiduciary relationship, complying with Section 6903 requirements.
  • Payroll Forms, Information Returns: We handle payroll and information return filings for employees and third parties, ensuring accurate reporting and compliance with regulatory obligations.
  • Pre-Receivership Returns: We request IRS transcripts of pre-receivership tax returns to evaluate any outstanding tax liabilities, preparing the receivership for financial transitions.
  • Tax Return Preparation, including Form 1120-SF: Our expertise extends to preparing Form 1120-SF for settlement funds, navigating complex tax implications, and ensuring thorough compliance with IRS requirements. We analyze whether the receivership meets the criteria for a qualified settlement fund and manage tax filings accordingly, including extensions if necessary.
  • Tax Planning and Advice: We offer strategic tax planning tailored to receivership scenarios, identifying opportunities for optimization, mitigating risks, and maximizing efficiencies. Our advice includes considerations for the tax impact on investors, victims, and third parties, aiming to minimize the receivership’s overall tax burden.
  • Response to Tax Notices: Our experienced team promptly addresses IRS, state, and local tax notices, conducting thorough reviews and preparing necessary documentation to resolve tax issues efficiently and effectively.

Accounting Services:

A&C provides comprehensive accounting services crucial for receiverships, ensuring accurate financial reporting and support for tax filings. Our services include:

  • Standardized Fund Accounting Reports: We prepare quarterly Standardized Fund Accounting Reports with detailed supporting documentation, ensuring transparency and compliance with reporting requirements.
  • Financial Reporting: We prepare required financial reports from accounting records, supporting tax filings and providing essential financial insights as requested.

These specialized services are tailored to meet the specific needs of receiverships, providing essential support in financial management, compliance, and strategic decision-making throughout the receivership process.

Let’s Talk

Schedule a consultation with our experienced consulting team today and discover tailored strategies to meet your goals and support your business growth.