EFTA02575100

From: Jeffrey Epstein <[email protected]> Sent: Friday, September 20, 2013 10:39 PM To: Alan S Halperin; Melanie Spinella Subject: Re: Sales Tax no reason to retain them, that i can find, leon you =nd i need a discussion. On Fri, Sep 20, 2013 at 6:34 PM, Alan S Halperin <=pan dir="Itr"> <mailto: > wrote: Ahhh.... Thanks. While Deloitte has=the experience and judgment, I don't think they had anything to add on=the specific substantive issues (beyond what we knew). The insurance analo=y, while thoughtful, turned out not to work. The suggestion that the grant=r continues to own the interest was rejected by others and, in my view, ra=ses the specter of estate tax inclusion. Will you be retaining Deloitte? G=ven Amanda's commitment to give you the ruling, and given the lack of =avorable authority, I think Ada's version is quite good. IRS Circular 230 disclosure: To ensu=e compliance with requirements imposed by the IRS, we inform you that any =.S. federal tax advice contained in this communication (including any atta=hments) is not intended or written to be used, and cannot be used, for the=purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) =romoting, marketing or recommending to another party any transaction or ma=ter addressed herein. Alan S. Halperin I Partner Paul, Weiss, Rifkind, Wharton & Garri=on LLP 1285 Avenue of the Americas I New York, NY 10019-6064 (212= 373-3313 (Direct Phone) I (212) 492-0313 <tel:%28212%29%20492-0313> (Direct Fax) mailto > I www.=aulweiss.com <http://www.paulweiss.com> From: "Jef=rey Epstein" [[email protected] <mailto:[email protected]> I Sent: 09/20/2013 06:08 PM AST To: Alan Halperin Subject: Re: Sales Tax should we have deloitte put together their arguments , as =pposed to adas no consideration . theirs was more regarding tranferi=g his right pocket to his left. my concern was that if the trust ass=ts were always in some sense his, do we need to worry about 2036, EFTA_R1_01746294 EFTA02575100 On Fri,=Sep 20, 2013 at 6:04 PM, Alan S Halperin IS» wrote: Jeffrey, I have be=ome quite good at interpreting your emails. But this last one has stumped me. I do not have any idea what you mean by: "what about the argumen= , do we deloitte to try. what about2036 vs still his?" Kindly spend tthree minutes and spell out your thoughts when you have a moment. Thanks. Alan IRS Circular 230 disclosure: To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transacti=n or matter addressed herein.=u> Click Here for More Information chttp://www.paulweiss.com/filesfibl_s29Publications/Fi=eUpload5679/5647/230.pdf> Alan S. Halperin I Partn=r Paul, Weiss, Rifkind, Wharton & Garrison LLP 1285 Avenue of the Americas I New York, NY 10019-6064 tel:%28212%29%20373-3313> (Direct Phone) I <tel (Direct Fax)</=ont> /u> <mailt I www.paulweiss.com</=> <http://www.paulweiss.com/> From: =AO "Jeffrey Epstein" <jeevacation@=mail.com <mailto:[email protected]» To: Alan S Halperin/PaulWeiss@Pa=lWeiss Date: =A0 09/20/2013 05:57 PM Subject: Re: Sales Tax what about the argument , do we deloitte to try.=AO what about2036 vs still his? On Fri, Sep 20, 2013 at 5:45 PM, Alan S Halperin «=font <mailto > wrote: I thought Ada's first draft was very good. It reflected my input. I told her to remove the reference to defective grantor trust. Also, as noted on the call, the trust should be the taxpayer requesting the opinion. I assume that you continue to believe that your other client should be the applicant. Correct? 2 EFTA_R1_01746295 EFTA02575101 Is my freeze partnership gaining any traction with you. IRS Circular 230 disclosure:=/u> To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transacti=n or matter addressed herein. Click Here for More Information <http://www.paulweiss.com/files/tbl_s29Publications/Fi=eUpload5679/5647/230.pdf> Alan S. Halperin I Partner Paul, Weiss, Rifkind, Wharton & Garrison LLP 1285 Avenue of the Americas I New York, NY 10019-6064 <tel (Direct Phone)= I <tel: (Direct Fax)</=ont> qu> <mailto <http://www.paulweiss.com/> I www.paulweiss.com</=> From: "Jeff=ey Epstein" <jeevacation=gmail.com <mailto:[email protected]» To: Alan S Halperin/PaulWeiss@PaulWeiss Date: 09/20/2013 05:28 PM Subject: Re: Sales Tax Please have them draft something you could live with . Leon will decide whether to file On Friday, September 20, 2013, Alan S Halperin wrote: Hi Jeffrey. I thought our call with Deloitte was quite productive. Pleas= note that, as described below, the insurance analogy is not helpful. The reason is that there is a specific rule with insurance. The fact that there is an express carve-out for insurance, but not in the substituti=n scenario, suggests that we should not use the former as analogy to support the latter. Tax Regs. Sec. 526.7(a)(5) provides the following, along with two examples:=/font> The term "sale" does not apply to the transfer of tangible personal pro=erty to a carrier, repairman, warehouseman or insurer by the owner of the proper=y after payment for damages thereto or loss thereof. Example 1: A carrier while transporting tangible personal property for a customer, damages the property. The carrier then make a cash payment to the customer for the amount the customer paid for the property, and retains the damaged property. The retention of the property by the carrier is not a sale. 3 EFTA_R1_01746296 EFTA02575102 Example 2: A motor vehicle is damaged in an accident, and the insurer consi=ers it a total loss. The insurer pays the owner cash, and takes the vehicle. The taking of the vehicle by the insurer is not a sale. The purchase of another vehicle by the owner of the damaged vehicle, with the proceeds of the insurance, is a retail sale. IRS Circular 230 disclosure:<=u> To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transacti=n or matter addressed herein. Click Here for More Information <http://www.paulweiss.com/files/tbl_s29Publications/Fi=eUpload5679/5647/230.pdf> Alan S. Halperin I Partn=r Paul, Weiss, Rifkind, Wharton & Garrison LLP 1285 Avenue of the Americas I New York, NY 10019-6064 (Direct Phone) <tel: Direct Fax)</=ont> <mailto I www.paulweiss.com This message is intended only for the use of th= Addressee and may contain information that is privileged and confidential. If you are not the intended recipient, you are hereby notified that any dissem=nation of this communication is strictly prohibited. If you have received this communication in error, please erase all copies of the message and its attachments and notify us immediately. The information contained in this communication is confidential, may be attorney-client privileged, may constitute inside information, and is intended only for the use of the addressee. It is the property of Jeffrey Epstein Unauthorized use, disclosure or copying of this communication or any part thereof is strictly prohibited and may be unlawful. If you have received this communication in error, please notify us immediately by return e-mail or by e-mail to [email protected]=m <[email protected]=> , and destroy this communication and all copies thereof, including all attachments. copyright -all rights reserved This message is intended only for the use of th= Addressee and may contain information that is privileged and confidential. If you are not the intended recipient, you are hereby notified that any dissem=nation of this communication is strictly prohibited. If you have received this communication in error, please erase all copies of the message and its attachments and notify us immediately. 4 EFTA_R1_01746297 EFTA02575103 The information contained in this communication is confidential, may be attorney-client privileged, may constitute inside information, and is intended only for the use of the addressee. It is the property of Jeffrey Epstein Unauthorized use, disclosure or copying of this communication or any part thereof is strictly prohibited and may be unlawful. If you have received this communication in error, please notify us immediately by return e-mail or by e-mail to [email protected]=m cmailto:[email protected]=> , and destroy this communication and all copies thereof, including all attachments. copyright -all rights reserved This message is intended only for the use of the Addressee =nd may contain information that is privileged and confidential. If you ar= not the intended recipient, you are hereby notified that any disseminatio= of this communication is strictly prohibited. If you have received this =ommunication in error, please erase all copies of the message and its atta=hments and notify us immediately. 5 EFTA_R1_01746298 EFTA02575104 The informati=n contained in this communication is confidential, may be attorney-client privileged, may constitute inside i=formation, and is intended only for the use of the addressee. It is the=property of Jeffrey Epstein Unauthorized use, disclosure or copying=of this communication or any part thereof is strictly prohibited and may be unla=ful. If you have received this communication in error, please notify us=immediately by return e-mail or by e-mail to [email protected] <mailto:[email protected]> , and destroy this communication and all copies thereof, including all attachm=nts. copyright -all rights reserved This message is intended only for the use of the Addressee and =ay contain information that is privileged and confidential. If you are no= the intended recipient, you are hereby notified that any dissemination of=this communication is strictly prohibited. If you have received this comm=nication in error, please erase all copies of the message and its attachme=ts and notify us immediately. The information contai=ed in this communication is confidential, may be attorney-client privil=ged, may constitute inside information, and is intended only for the use of the a=dressee. It is the property of Jeffrey Epstein Unauthorized use, di=closure or copying of this communication or any part thereof is strictl= prohibited and may be unlawful. If you have received this communication in error, p=ease notify us immediately by return e-mail or by e-mail to [email protected], =nd destroy this communication and all copies thereof, including all attachm=nts. copyright -all rights reserved 6 EFTA_R1_01746299 EFTA02575105