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Business, There Are A Number Of Challenges Essay

¶ … business, there are a number of challenges that will face any organization. The main reason is from changes in regulations, technology and the marketplace. For executives to understand how to respond to these kinds of situations often involves examining various journal articles. When it comes to tax issues and information literacy, this requires looking at two pieces of literature that have been written on the subject. This will be accomplished through studying the articles that were written by Ryesky (i.e. Honorary Board Membership, Real Tax Liability and On Solid Legal Ground). Once this takes place, is when we can offer specific insights as to how businesses can respond to these issues. The first article that was written by Ryseky (2009) (i.e. Honorary Board Membership, Real Tax Liability) he is discussing how tax liability laws are applied to honorary board members of trusts. What has been happening is there were a number of scandals associated with the board members of charitable trusts receiving lucrative salaries and benefits. In response to these issues, the IRS announced that they were going to be heavily scrutinizing tax exempt organizations (with a policy known as Notice 2004 -- 30). Then, Congress passed the Pension Protections Act of 2006. This placed increase pressure on tax exempt organizations to improve transparency by directly going after the salaries of executive officers and board members. Moreover, there were greater amounts of vigilance over the largest contributors and their funding sources. (Ryseky 94 -- 115)

This increased...

These are specific provisions that allow regulators to directly go after anyone who is knowingly trying to avoid paying taxes. The problem emerged when it was applied to honorary board members of trusts and other nonexempt entities. At the heart of this dispute, was how the IRS should view honorary board members of these organizations. This is because they were not appointed and often played a limited role in the operations of the trust. (Ryseky 94 -- 115)
As a result, several cases were decided by the courts with them ruling in favor of the government. What they found, is that a basic definition must apply for this law to be applicable. This depends upon the individual meeting one of several conditions including: they are participating in the day-to-day operations of the trust or they have knowledge of the organizations financial activities. The combination of these elements is important, in showing how tax regulations and the way they are enforced are continually changing. (Ryseky 94 -- 115)

The second article that was written by Ryseky (2007) (On Solid Legal Ground) is talking about how the Internet has changed the way legal professionals is conducting research. What has been happening is more sources are available online. This is a part of an effort to help everyone to find the right information they are looking for (which requires understanding how to navigate these areas). To deal with these issues there must be some kind of collaboration between the instructor and librarian. During this…

Sources used in this document:
References

Ryseky, Kenneth. "Honorary Board Membership, Real Tax Liability." Akron Tax Journal 24.93 (2009): 94 -- 115. Print.

Ryseky, Kenneth. "On Solid Legal Ground." The Journal of Effective Teaching 7.2 (2007): 21 -- 35. Print.

MLA Format. http://owl.english.purdue.edu/owl/resource/747/07/
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