State & Local

  • August 31, 2021

    GILTI Rate Hike May Make US Uncompetitive, Biz Rep Says

    If states piggyback on President Joe Biden's proposal to raise taxes on multinational corporations, the country's business climate may become uncompetitive because other nations are negotiating a lower minimum corporate tax rate, a business trade group representative said Tuesday.

  • August 31, 2021

    Ark. ALJ Sustains Tax Assessment On Material Purchases

    An Arkansas administrative law judge determined that a taxpayer wasn't entitled to a sales tax credit for tax paid on materials used to provide nontaxable services, such as work on exhaust fans, water pumps and compressors.

  • August 31, 2021

    Xerox Applied Correct Franchise Tax Rate, Texas Court Affirms

    A Texas appeals court on Tuesday said Xerox Corp. correctly applied a 0.5% franchise tax rate for tax years 2008 and 2009, rejecting the state comptroller's argument that the applicable rate during the time period was 1%.

  • August 31, 2021

    Ala. Pauses Licensing For Terminal Excise Tax Due To Hurricane

    The commissioner of the Alabama Department of Revenue temporarily suspended the motor fuel exporter, importer and transporter licensing requirements associated with the state's terminal excise tax for entities supporting disaster relief efforts in response to Hurricane Ida.

  • August 31, 2021

    Md. Tax Dept. Would Use IP Addresses To Source Digital Ad Tax

    Large companies owing tax to Maryland under its first-in-the-nation tax on digital advertising would be subject to an apportionment formula involving devices accessing digital services within Maryland and those accessing digital advertising services from any location, the state comptroller said.

  • August 31, 2021

    Ala. Aircraft Parts Tax Break Passage Called Unconstitutional

    An Alabama legislative resolution passed this year that made permanent a sales tax exemption for airplane parts for out-of-state aircraft is unconstitutional because it wasn't passed as a bill, teachers union members told a state court.

  • August 31, 2021

    Colorado Gov. Favors Eliminating State Income Tax

    Colorado's Democratic governor told a conservative nonprofit group that the state would optimally have no personal income tax and instead rely on other means, such as pollution taxes, to raise revenue.

  • August 31, 2021

    Guam Proved Timely Billing Of $3.7M Tax Debt, 9th Circ. Says

    Guam adequately proved that it timely assessed $3.7 million in taxes against a man before seeking to foreclose on his properties despite a dearth of official records due to water and termite damage, the Ninth Circuit said Tuesday.

  • August 31, 2021

    Ex-Mayor's Sprawling Trial Didn't Skew Verdict, Feds Say

    A former Massachusetts mayor can't claim "spillover prejudice" improperly led jurors to convict him of fleecing investors and extorting marijuana businesses because he explicitly agreed to a single trial on all the charges, federal prosecutors said Monday.

  • August 31, 2021

    NY Court Affirms Property Tax Challenge Was Too Late

    A New York appeals court affirmed that a city's provision regarding the filing of a tax assessment roll is controlling, finding that a lower court properly found a 2019 property tax challenge was late.

  • August 31, 2021

    La. Extends Certain Tax Deadlines Due To Hurricane Ida

    Louisiana is extending due dates for the state's severance tax and various other taxes in the wake of Hurricane Ida, the Department of Revenue said Tuesday.

  • August 30, 2021

    Taxation Of NFT Sales Proves Vexing, Ind. Tax Official Says

    The taxability of nonfungible tokens, or NFTs, sold through online marketplace facilitators is presenting a novel question for tax administrators to grapple with in the burgeoning digital market, an Indiana Department of Revenue representative said Monday.

  • August 30, 2021

    Law360 MVP Awards Go To 182 Attys From 77 Firms

    The elite slate of attorneys chosen as Law360's 2021 MVPs have distinguished themselves from their peers by securing hard-earned successes in high-stakes litigation, complex global matters and record-breaking deals.

  • August 27, 2021

    Ill. Enacts SALT Cap Workaround For Pass-Through Entities

    Illinois joined the bandwagon of states offering entity-level taxes for pass-through business owners as a workaround to the $10,000 federal cap on state and local tax deductions under a bill the governor signed Friday. 

  • August 27, 2021

    Ill. Allows Retroactive Sales Tax Credits For Marketplaces

    Illinois' governor signed a bill Friday allowing certain marketplace sellers to claim a retailers' occupation tax credit on sales where marketplace facilitators such as Amazon.com also collected and remitted matching use tax in 2020.

  • August 27, 2021

    Killing Fed. Tax Offset Rule Creates 'Loophole,' Treasury Says

    A challenge by a group of states led by Alabama to kill the American Rescue Plan's state tax-cut limitation would create a loophole big enough to undermine the law's purpose, the U.S. Treasury told a federal court.

  • August 27, 2021

    DC Poised To Hike Taxes On High Earners In 2022

    The mayor of the District of Columbia signed a $2.8 billion budget that would raise taxes on individuals earning more than $250,000 annually to fund legislative goals, including homelessness assistance.

  • August 27, 2021

    Mich. Blocked From Collecting Use Taxes From Tribe

    Michigan is barred from collecting use taxes from the Keweenaw Bay Indian Community or its members for property used within the community's territory, a federal court said in an injunction implementing a ruling partially siding with the community.

  • August 27, 2021

    Colo. Property Tax Reduction Initiative Wins Ballot Spot

    A Colorado initiative that would reduce the taxable proportion of Coloradans' real property received enough signatures to qualify for a vote on the ballot, the state Secretary of State's Office announced.

  • August 27, 2021

    Ind. Taxpayer's Liability Assessment Should Be Lowered

    An Indiana taxpayer's 2016 tax liability assessment should be lowered, because the assessment was previously adjusted only for income, the state Department of Revenue ruled.

  • August 27, 2021

    T-Mobile Property Can Be Centrally Assessed, Va. Panel Says

    A Virginia commission sided with a T-Mobile unit and found that much of its retail and other properties in the state should be centrally assessed by the commonwealth and not assessed locally, potentially reducing its tax.

  • August 27, 2021

    Domicile Changes In Remote-Work Era Draw States' Scrutiny 

    The increase in remote work during the coronavirus pandemic has motivated many Americans to move to lower-tax states, unaware that changing one's domicile is not as easy as it may appear, especially with states scrutinizing the moves. 

  • August 27, 2021

    Wash. Court Told Capital Gains Row Not Solved By Prior Cases

    A Washington court cannot rely on prior income tax cases to resolve whether a group of challengers can proceed with their complaints against the state's newly enacted capital gains tax, the state and the challengers told the court.

  • August 27, 2021

    Centrist Dems Hold Cards As Congress Mulls $3.5T Relief Plan

    The fate of a $3.5 trillion fiscal 2022 budget reconciliation bill designed to finance priorities in President Joe Biden's recovery agenda will likely hinge on undecided centrist House Democrats who have concerns about the scope of the plan's tax hikes.

  • August 27, 2021

    NJ Tax Division Requires Uncertain Tax Position Form Filing

    New Jersey corporate tax-return filings must include a federal schedule used by certain corporations to report uncertain tax positions, according to revised guidance issued by the state Division of Taxation.

Expert Analysis

  • What DC's Advertising Sales Tax Proposal Means For Biz

    Author Photo

    The District of Columbia's recently approved preliminary budget would make it the first jurisdiction to adopt targeted, transaction-based sales tax on digital advertising and personal information, and business taxpayers should evaluate the complexities that arise from taxing such services, say attorneys at Eversheds Sutherland.

  • High Court Religious Tax Credit Ruling Won't Bar State Choice

    Author Photo

    The U.S. Supreme Court's recent decision in Espinoza v. Montana, which allowed use of state scholarship funds for religious education, signals the court's support for some state independence in controlling permissible use of public funds for religious purposes, says James Layton of Tueth Keeney.

  • Altera Could Bolster State Transfer Pricing Scrutiny

    Author Photo

    The reasoning of the Ninth Circuit's Altera v. Commissioner decision — which the U.S. Supreme Court recently declined to review — could provide state tax authorities with an argument for additional discretion when challenging transfer pricing arrangements between affiliated entities, say attorneys at Eversheds Sutherland.

  • Okla. High Court Marijuana Ruling Provides Preemption Guide

    Author Photo

    The reasoning in the Oklahoma Supreme Court's recent decision finding no conflict between federal law prohibiting the sale and use of marijuana and a potential state law allowing these actions may serve as a road map for other state courts faced with similar issues, say Justin Stern and Joseph Pangaro at Duane Morris.

  • Kentucky Tax Talk: Pandemic Raises Telecommuting Issues

    Author Photo

    Companies doing business in Kentucky must grapple with the tax issues raised by the state's executive orders enforcing remote work in response to COVID-19 — especially around the status of employees who are now telecommuting from a different state, say attorneys at Frost Brown.

  • How To Handle Congressional Queries On COVID-19 Relief

    Author Photo

    Despite their informal nature, congressional inquiries regarding CARES Act implementation should not be taken lightly as these requests may be precursors to more formal and invasive investigations, say attorneys at Baker Donelson.

  • Congress Must Create More Private Rights Of Action

    Author Photo

    In light of the Trump administration's efforts to limit the enforcement of regulations during the pandemic and beyond, and the U.S. Supreme Court's severe limitations on private rights of action, Congress must take swift action, says attorney Todd Phillips.

  • 2008 Recession Offers Lessons For COVID-19 Transfer Pricing

    Author Photo

    Tax directors at multinational companies can look to a post-Great Recession profitability analysis of distributors, manufacturers and service companies for guidance on transfer pricing in the current economic environment, says Alan Alford at Bates White.

  • Ohio Tax Talk: Unemployment Ruling May Offer M&A Savings

    Author Photo

    The Ohio Supreme Court's recent decision in Delphi Automotive v. Ohio Department of Job and Family Services sets an acquirer-friendly precedent for unemployment tax rates in mergers, acquisitions and reorganizations, which could be especially important in the wake of pandemic-related layoffs, say Jeremy Hayden and Christopher Tassone of Frost Brown.

  • What COVID-19 Means For The M&A Insurance Market

    Author Photo

    Alvin Reynolds and Richard French at Atlantic Global Risk address the impact of COVID-19 on M&A insurance market dynamics, policy terms and claims, and explain new applications to support distressed transactions. 

  • Excessive Regulation And Taxation Hinder Small Biz Recovery

    State and federal legislators must act to release the chokehold on small businesses imposed by ill-conceived coronavirus relief packages and disparate rules, regulations and tax policies reaching out for them beyond state borders, says Bradley Scott at Halstead Bead.

  • Md. Digital Ad Tax Likely To Share Fate With Wash. Bank Tax

    Author Photo

    Maryland's digital advertising tax contains some of the same constitutional infirmities as Washington's banking surtax — which was ruled unconstitutional by a Washington state court last week — and will spawn similar litigation if the Maryland Legislature passes it over the governor's veto, say attorneys at Eversheds Sutherland.

  • Would California's Foreclosure Moratorium Be Enforceable?

    Author Photo

    If passed, a proposed California law — preventing foreclosure on residential property while a state of emergency related to COVID-19 is in effect — will face significant legal challenges and constitutional questions, say attorneys at Duane Morris.

Can't find the article you're looking for? Click here to search the Tax Authority State & Local archive.