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On the Move-October 8, 2014

MADAF Gala Invitations are in the Mail

Members should receive their invitations this week for the 2014 Maryland Automobile Dealers Association Foundation Gala which will be held on Saturday, November 8th at the Columbia Country Club in Bethesda, MD.

We look forward to celebrating our 5th anniversary event, as well as the establishment of long-standing former Association President, Cavendish "Cab" Darrell, into our Legends Hall. Cab began his career with the Association, then known as the Automobile Trade Association of Maryland, in 1945. During his 30 year tenure, he helped craft the 1971 Manufacturer's Licensing Bill. This law has been enhanced since its original enactment and although originally one of the first such laws in the entire United States, it is still a model for state laws regulating relationships between manufacturers, distributors and factory branches and their new vehicle dealers. Cab retired from the Association at the end of 1975. His success as a lobbyist on behalf of the new vehicle dealers in Maryland was legendary, hence his establishment as a member of our Legends Hall. We hope that you will join us on November 8th to celebrate the legacy of a man who made quite the impact in our industry, not just in Maryland, but on the nation as a whole.

The RSVP deadline is Friday, October 31st, so please don't delay in returning your RSVP card! Also, we have reserved a block of rooms at the nearby Bethesda Hyatt Regency ($99/night) for any guests who wish to stay over after the event. If you would like to reserve a room please CLICK HERE or call 1.888.421.1442; the room block will expire on October 10th.

MADA Hosts Fall Title & Registration Seminars

The Maryland Automobile Dealers Association, along with managers from the Motor Vehicle Administration, will present a seminar that offers the opportunity to learn new procedures and review old procedures. Due to the constant changes of regulations governing the sale of a vehicle, MADA strongly encourages individuals from the F&I, Sales, Business Management, and Title & Registration Departments to attend this seminar. We will also address any titling and registration changes as a result of the 2014 Legislative Session. This is a great opportunity to network with your ERT representatives as well as your MVA representatives.

Two dates/locations to choose from:

Seminar #1

October 21, 2014

9:30-11:30 a.m.

Location:

Hilton Garden Inn-White Marsh

5015 Campbell Blvd.

Baltimore, MD 21236

Seminar #2

October 22, 2014

9:30-11:30 a.m.

Location:

Turf Valley Resort

2700 Turf Valley Road

Ellicott City, MD 21042

Cost:

$85.00 per person (Member)

$125.00 per person (Non-Member)

Space is limited!

To register, please download a registration form and return to MADA by fax, 410.269.1549, or mail with check payable to MADS at 7 State Circle, Suite 301, Annapolis, MD 21401.

Disposal of Tangible Property Regulations Finalized

On August 18, 2014, the U.S. Department of the Treasury finalized regulations addressing accounting for the disposal of tangible property. The regulations are effective for tax years beginning on or after Jan. 1, 2014, and are the final piece of Treasury's tangible assets regulations.

The final regulations allow taxpayers to deduct the cost of an asset or a component of an asset when it is replaced or retired from service. A partial disposition deduction is available even if the component was not identified as a separate asset before its disposition.

The regulations clarify the rules for computing the adjusted basis of a disposed component to determine the deductible amount. They require taxpayers to look first at their internal records to determine the component's basis.

Taxpayers then are allowed to use a "reasonable method" for estimating the basis if the information cannot be determined via their internal records or does not exist.

The regulations continue to allow a taxpayer annually to elect to recognize an asset's partial disposition by reporting the gain, loss, or other deductions in the taxpayer's timely filed original federal tax return (including extensions) for the taxable year in which the portion of the asset is disposed by the taxpayer.

The property disposition regulations are the last remaining major guidance in the overall tangible property regulations guidance plan, as the bulk of the regulations were finalized in 2013.

It is anticipated the additional transition guidance will provide for an expanded use of the late partial disposition election to tax years beginning in 2014. Dealers are encouraged to speak to their accountants to determine how this may apply to their particular situation.

American Fidelity: New Resources Available to Assist with November 5, 2014 HPID Requirement

The Department of Health and Human Services (HHS) has published a Quick Reference Guide for obtaining a health plan identifier (HPID) under HIPAA. HHS requires health plans to obtain an HPID by November 5, 2014 (small health plans with annual receipts of $5 million or less have until November 5, 2015 to comply). Employers that sponsor self-funded health plans will need to register for this ID; insurance companies will perform this task on behalf of employers that sponsor fully-insured plans. An employer may register for and obtain the HPID from the HHS website. Once a health plan has received its HPID, any covered entity or business associate that identifies the health plan must utilize the assigned HPID number when conducting electronic, standard business transactions. So, it will be important to share the HPID with applicable entities.

American Fidelity Administrative Services has published a new white paper to help you understand these requirements, along with the certification requirements that are due by December 31, 2015. For more information, please contact 877-302-5073.

Welcome New Associate Member

Armstrong Dixon. Providing dealer succession planning tools and services. 1500 Sulgrave Avenue, Baltimore, MD 21209. Roy G. Dixon, Partner, 410.916.1528 or email: rdixon@armstrongdixon.com. Gregory Armstrong, Partner, 410.925.9480 or email: garmstrong@armstrongdixon.com.

New Webinars Announced from DealersEdge

#1: Update on the Dealership Buy/Sell Marketplace...What is Driving Blue Sky Values?

Date/Time: Thursday, October 16 at 1pm Eastern

Presenter: Erin Kerrigan, Founder and Managing Director of Kerrigan Advisors

Cost: $149.00 per person

As vehicles sales are again reaching record levels, more and more dealers are wondering if this is the time to sell...Or maybe the time to buy? It's time to find out! Erin Kerrigan will discuss the 2014 Buy/Sell market for auto dealerships, providing critical perspective and understanding of what is driving today's buy/sell market for dealerships. Erin is the founder and managing director of Kerrigan Advisors a national buy/sell advisory. Previously Erin headed Presideo Automotive and has represented many dealer clients in buy/sell transactions. In this webinar, you will learn the following:

About the economic drivers of today's high blue sky values
Why some franchises are trading for larger premiums than others
About the impact of geography, dealership profitability, facilities and franchise market suitability on blue sky values
The profile of today's buyers - what is most important to them

#2: The 5 Key Habits of Super Star Controllers & Office Managers

Date/Time: Thursday, October 23 at 1pm Eastern
Presenter: Sandi Jerome
Cost: $149.00 per person

One of the most important habits of Super Star Controllers & Office Managers is being proactive. The most effective appreciate their responsibilities, anticipate demanding situations, and have a ready strategy and solution for each. Join technology guru Sandi Jerome as she profiles the Super Star Controllers and Office Managers she has met and worked with over decades. This webinar will cover the following:

How to use a Daily Cash Report to better manage Cash Flow
How to get more out of your office staff by creating deadlines and objectives
How to reconcile the Financial Statement's Net Profit to the "numbers" provided by sales and fixed operations
How to balance your personal life and endure less work-related stress
How to better interact with other managers and the dealer as you grow as a manager

Click Here to Register Today!

Maryland Automobile Dealers Association
7 State Circle, Suite 301
Annapolis, MD 21401
(800) 526.7423 (Toll-free)
(410) 269.1549 (Fax)

www.mdauto.org