Tax Law

Recent Posts

The "Convenience of the Employer" Test, NY CLS Tax Sec. 631(b)
Posted on 4 Jun 2008 by Timothy P. Noonan

Timothy P. Noonan, a partner in the State & Local Tax practice group at Hodgson Russ LLP’s Buffalo office, discusses New York's rules for the taxation of a nonresident's wage income. A New York regulation espousing the "convenience... Read More

Michigan Business Tax Act Includes Related Party Expense Disallowance
Posted on 28 Oct 2009 by Patrick Van Tiflin

Under the Michigan Business Tax Act, every taxpayer with business activity in the state is subject to the business income tax. The business income tax base, which is a taxpayer's "business income" as defined in MCL 208.1105(2) , is that... Read More

The Current State of "Attributional" Nexus: Claims of Jurisdiction Over Out-of-State Sellers
Posted on 5 Nov 2009 by USC Gould School of Law

The poor economy has created a budgetary crisis for many state governments. One solution is to expand a state's taxes to include companies earning income or with benefits that are seen occurring in the state. There are controversies on "attributional... Read More

Florida Documentary Stamp Tax: Deed Recordation and IRC Sec. 1031 Exchanges
Posted on 9 Apr 2009 by Locksley A. Rhoden

Florida applies documentary stamp taxes to deeds, mortgages or other lien obligations filed or recorded in the state. Because an Internal Revenue Code (IRC) Section 1031 like-kind exchange transaction includes a tax-free exchange of property and recordation... Read More

Ignoring Available Tax Credits: Malpractice Exposure for Tax Practitioners
Posted on 14 Jul 2009 by Charles W. Swenson, CPA, PhD

This article examines what is potentially one of the biggest malpractice exposure issues waiting to explode: negligent omissions of available tax credits by tax practitioners for their clients. In the next few sections, Dr. Swenson discusses the setting... Read More

California’s Levy on Unapportioned Gross Receipts Held Unconstitutional
Posted on 21 Nov 2008 by Bradley Marsh

The California Court of Appeals recently upheld and affirmed the long-established Complete Auto apportionment rule. In doing so, the court held that regardless of whether such an unapportioned levy is a tax or a fee, it is unconstitutional under the dormant... Read More

One-Year Tax Credit Window Open to New Construction Home Buyers in California
Posted on 2 Apr 2009 by Mark A. Muntean

Briefly stated, for the period from March 1, 2009 to February 28, 2010, a California taxpayer who purchases a qualified principal residence in California that has never been occupied (new construction) may be allowed a tax credit equal to the lesser of... Read More

Oregon Legislature Limits Energy Tax Credits, But Leaves Program Intact
Posted on 28 Apr 2010 by Adam D. Orford

Since 2007, Oregon's popular Business Energy Tax Credit (BETC) has earned the state an enviable reputation as a leader in renewable energy, particularly wind energy. But the ballooning costs of the tax credit program, combined with a national recession... Read More

FREE STATE TAX CHART! Sales Taxation of "Cash for Clunkers" Rebate Payments
Posted on 13 Aug 2009 by LexisNexis Tax Center

The federal government “Consumer Assistance to Recycle and Save Program" (CARS),Title XIII of PL 111-32 (2009), 123 Stat. 1859, a.k.a. “Cash for Clunkers”, is effective until November 1, 2009. The program promotes purchases and... Read More

"Distortion" in the California Apportionment Formula
Posted on 15 Jan 2009 by Brian W. Toman

There has been a quick evolution in the past two years in litigation and administrative procedures and practices regarding the sales factor of the apportionment formula used to attribute corporate income to California since the California Supreme Court... Read More

Location-Based Credits and Incentives: The State of the Union
Posted on 25 Mar 2009 by Charles W. Swenson, CPA, PhD

Charles “Chuck” Swenson, CPA, PhD, is Professor of Accountancy at the University of Southern California . He has authored a number of books, and is General Editor of Bender's State Taxation: Principles and Practice . He has written... Read More

Recognition of Accountant-Client Privilege for Federal and State Tax Purposes
Posted on 2 Jul 2010 by Andrew W. Swain

In light of recent cases, such as U.S. v. Textron, Inc. , 577 F. 3d 21 (1st Cir. 2009), cert. den. No. 09-750, May 24, 2010, and Comm. of Revenue v. Comcast Corporation & Continental Teleport, Inc., 453 Mass. 293; 901 N.E.2d 1185; 2009 Mass. LEXIS... Read More

Understanding Limitations on Transfers in Which Decedent Held Interest
Posted on 22 Sep 2009 by Kristen Kemp

Inheritance tax imposes a tax on the right of succession, while estate tax is a tax against property. The former is enforceable against the individual transferees or those with dominion and control over the property, while the latter is due by way of... Read More

May 25, 2010 - Johnson Controls, Inc. v. Miller: Petition for Certiorari Denied
Posted on 25 May 2010 by Erica Horn

Editor's Note: The U.S. Supreme Court yesterday denied the petition for certiorari Johnson Controls, Inc. v. Miller, 2010 U.S. LEXIS 4206 (U.S. May 24, 2010) by Johnson Controls, Inc., pursuant to last fall's decision of the Kentucky Supreme Court... Read More

State Income Taxes Decoupled From IRC on Cancellation of Debt Income
Posted on 1 Jul 2009 by Andrew W. Swain

The recently enacted American Recovery and Reinvestment Act of 2009 amended IRC § 108 by adding a provision cancelling debt income. This provision allows taxpayers to elect to defer the recognition of income realized from the discharge of indebtedness... Read More