Litigation Funding: The Attorney's Perspective - 01/27/14
نویسنده
چکیده
In a previous article,1 we discussed some of the basic tax considerations investors face in lawsuits. We concluded that debt treatment tends to be unfavorable to an investor because income is ordinary and the investor may even be required to accrue phantom income. Outside the debt context, we observed, the investor tends to be indifferent as to whether the arrangement is a prepaid forward contract or an equity-like interest followed by a redemption.
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