| Anne Batter has more than 20 years of experience guiding her clients in planning executive compensation and other benefits arrangements, assisting them in executing their plans, and successfully defending her clients' positions both before the Internal Revenue Service (IRS), and in court. Her practice focuses on executive compensation, deferred compensation, equity compensation, settlement payments, fringe benefits, employment taxes, and associated excise taxes, such as the air transportation excise tax and golden parachute excise tax. In all of these areas, Ms. Batter handles client matters from the initial consulting on plan design and compliance issues, to plan drafting, and all the way through to defense of the client position on IRS audit and in controversy. More > Anne Batter has more than 20 years of experience guiding her clients in planning executive compensation and other benefits arrangements, assisting them in executing their plans, and successfully defending her clients' positions both before the Internal Revenue Service (IRS), and in court. Her practice focuses on executive compensation, deferred compensation, equity compensation, settlement payments, fringe benefits, employment taxes, and associated excise taxes, such as the air transportation excise tax and golden parachute excise tax. In all of these areas, Ms. Batter handles client matters from the initial consulting on plan design and compliance issues, to plan drafting, and all the way through to defense of the client position on IRS audit and in controversy.
Ms. Batter has extensive experience drafting and amending compensation plans and arrangements to comply with Internal Revenue Code (IRC) Section 409A and the performance-based compensation requirements of Section 162(m), as well as with other provisions of the tax code, such as the provisions excluding from employee income certain adoption benefits, educational assistance, and disaster relief, as well as Sections 422 and 423, which provide tax favored treatment for ISOs and employee stock purchase plans. She also has assisted clients in structuring employee loan programs. Her consulting and controversy experience makes her aware of common pitfalls in plan administration that can be avoided through plan drafting and the implementation of sound administrative practices and policies. Her background in general tax deduction principles (under Sections 162, 461, and 404(a)(5)) and payroll/employment taxes (Social Security, including FICA and OASDI, FUTA, and federal income tax withholding), makes her especially sensitive to drafting plans with the tax consequences in mind.
Ms. Batter has many years of experience defending her clients’ positions in tax controversies before the IRS and in the United States Tax Court. She has litigated a number of cases of first impression in the area of the tax treatment of benefits and executive compensation, such as Sutherland Lumber-Southwest, Inc. v. United States, 114 T.C. 197 (2000), aff’d, 255 F.3d 495 (8th Circuit 2001); Micron Technology, Inc. v. United States, U.S. Court of Federal Claims Docket No. 99-61T; Evening Star v. Commissioner, U.S. Tax Court Docket No. 688-98; and Kraft Foods North America, Inc. v. United States , 58 Fed. Cl. 507 (2003). She has favorably settled at Appeals cases involving the Railroad Retirement Tax Act (RRTA) treatment of employer-provided moving expense allowances, excise tax issues under Section 4261(e)(3), and the treatment of stock options for purposes of the lobbying expense deduction disallowance under Section 162(e). She also has assisted taxpayers facing deposit penalties in connection with their option (as well as restricted stock and restricted stock unit) deposit practices and those facing IRS audits of employment tax withholding and deduction issues in connection with their option grant practices (i.e., option backdating or discounting).
When controversy is not the best approach to resolving an issue, Ms. Batter has substantial experience representing clients before the IRS in obtaining favorable private letter rulings (PLRs) for her clients, such as PLRs 200613012 and 200229016 (both under Section 162(m)), as well as before the U.S. Department of the Treasury and Congress in connection with policy initiatives.
Prior to joining Miller & Chevalier, Ms. Batter was a partner in the North American Tax practice group of Baker & McKenzie LLP, and before that, with Weil, Gotshal & Manges. < Brief Bio
- For newly public companies, drafted equity and performance-based compensation plans and advised on application of transition rules under Section 162(m). Obtained favorable private letter ruling (PLR 200613012) on application of Section 162(m) to plans drafted even though a target bonus was paid in the case of retirement. Later, conformed such plans, as well as voluntary deferral plan, severance plan, and employment agreements, to requirements of Code Section 409A and updated requirements under 162(m).
- Successfully restructured restricted stock units of large retailer so as to avoid application of Code Section 3121(v)(2)’s requirement that units be FICA taxed at vesting, while retaining feature providing for additional vesting for employees with certain levels of age and service requirements, as well as incentives to continue to work for company. Added language to bolster employer’s use of convention for valuing stock on settlement of units.
- Advised employers on application of corrections program under Notice 2008-113, for operational errors in administering deferred compensation arrangements, and advised other employers on scope of written plan documentation requirements under Code Section 409A.
Government Experience
- Attorney, Office of Chief Counsel, Income Tax and Accounting Division, Internal Revenue Service, 1993 - 1994
- Attorney-Advisor, United States Tax Court, 1985 - 1988
Professional and Community Involvement
- Member, Section of Taxation, American Bar Association
- Member, Taxation Section, District of Columbia Bar
Court Admissions - United States Tax Court
- United States Court of Federal Claims
- United States Court of Appeals for the Eighth Circuit
- United States Supreme Court
Clerkships
- Clerk, The Honorable Arnold Raum, United States Tax Court
Education - J.D., Harvard Law School, 1985
- B.A., University of Maryland, summa cum laude, Phi beta Kappa, 1982
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