Tax Law

Recent Posts

It’s None of Your Business: California Office of Tax Appeals Rejects FTB’s Broad Test for Doing Business
Posted on 19 Sep 2019 by Eversheds Sutherland LLP

The California Office of Tax Appeals (OTA) reversed the Franchise Tax Board’s (FTB) determination that an out-of-state limited liability company (LLC) had taxable nexus with California solely because it held an ownership interest in an LLC operating in... Read More

CalTax Quarterly Board of Directors Meeting
Posted on 11 Jun 2019 by Eversheds Sutherland LLP

Lawmakers in California have introduced bills set to generate $16.4 billion in new taxes and fees for the 2019-2020 legislative session. Last week, Eversheds Sutherland sponsored CalTax’s Board of Directors Meeting, which covered the Governor’s... Read More

Over-Hall: U.S. Supreme Court Holds States Retain Sovereign Immunity from Private Suits in Other States, Overturning Nevada v. Hall
Posted on 11 Jun 2019 by Eversheds Sutherland LLP

In a 5-to-4 decision, the US Supreme Court held that states retain sovereign immunity from private suits brought by individuals in courts of other states, and therefore, overruled its prior decision in Nevada v. Hall , 440 US 410 (1979). The decision... Read More

California, meet New York
Posted on 29 May 2019 by Eversheds Sutherland LLP

Eversheds Sutherland welcomed local guests into our New York office to meet Sacramento lawyers Tim Gustafson and Eric Coffill and learn about developments in California state tax. The group then went to see the Padres meet the Yankees (where the visiting... Read More

An Overview of the California Research and Development Credit
Posted on 9 May 2019 by Eversheds Sutherland LLP

The California research and development credit is frequently a high-ticket item for taxpayers. Indeed, according to the California Franchise Tax Board’s (FTB) 2017 Annual Report, $1,440,103,626 of corporation tax research credits were allowed in... Read More

Podcast: P.L. 86-272 Protection for Deliveries
Posted on 31 Jan 2019 by Eversheds Sutherland LLP

In this podcast , Eversheds Sutherland state and local tax attorney Chris Lee discusses California Technical Advice Memorandum 2018-3 and the application of P.L. 86-272 to deliveries by private trucks. Read More

California FTB Confirms Delivery by Private Vehicles Is Protected Under P.L. 86-272
Posted on 19 Jan 2019 by Eversheds Sutherland LLP

In a Technical Advice Memorandum issued on December 4, 2018, the California Franchise Tax Board (FTB) concluded that delivery of tangible personal property via private truck is a protected activity under P.L. 86-272. However, any activity that goes beyond... Read More

California FTB Chief Counsel Issues Ruling on Financial Corporations and Interest Rate Hedging Contracts
Posted on 20 Dec 2018 by Eversheds Sutherland LLP

On November 2, 2018, the Chief Counsel of the California Franchise Tax Board issued Chief Counsel Ruling No. 2018-01, determining: (1) that a taxpayer servicing mortgages was not a financial corporation for purposes of the corporation franchise tax; and... Read More

California Court of Appeal Affirms that Transactions Involving Out-of-State Title Transfer Are Subject to Local Use Tax, Not Local Sales Tax
Posted on 19 Dec 2018 by Eversheds Sutherland LLP

The California Court of Appeal affirmed a trial court decision finding that transactions involving an Internet retailer headquartered in Brisbane, California, were subject to local use tax, rather than local sales tax, because title in the transactions... Read More

Eversheds Sutherland SALT Scoreboard Publication–Third Quarter 2018
Posted on 1 Nov 2018 by Eversheds Sutherland LLP

This is the eleventh edition of the Eversheds Sutherland SALT Scoreboard, and the third edition of 2018. Each quarter, we tally the results of what we deem to be significant taxpayer wins and losses and analyze those results. This edition of the SALT... Read More

Taking Taxpayers for a Ride: California Upholds Mandatory Combined Reporting for Interstate Motorcycle Retailer
Posted on 12 Oct 2018 by Eversheds Sutherland LLP

The California Court of Appeals affirmed a trial court’s holding that the California Franchise Tax Board can require interstate unitary businesses to use combined reporting, even though combined reporting is optional for intrastate unitary businesses... Read More

New California Tax Agencies' Roles Clarified
Posted on 21 Sep 2017 by Eversheds Sutherland LLP

On September 16, 2017, California Governor Jerry Brown signed Assembly Bill 131, a budget trailer bill clarifying a number of provisions related to the roles of California’s two new tax agencies, the California Department of Tax and Fee Administration... Read More

More Taxes Coming in Oregon?
Posted on 27 Dec 2016 by Eversheds Sutherland LLP

By Eric Coffill New Oregon Gross Receipts Tax Proposal. On December 14, 2016, the group behind Measure 97 (which was defeated at the November 2016 general election), released a booklet setting forth its 2017 legislative proposals. The document includes... Read More

A Pinch of SALT: What New York Can Learn From California's Combined Reporting History
Posted on 27 Oct 2014 by Eversheds Sutherland LLP

As part of a sweeping law change, New York will require taxpayers to use a water’s-edge combined reporting method when filing corporate income tax returns beginning January 1, 2015. In this edition of A Pinch of SALT, Sutherland tax attorneys... Read More

California Real Property Deal Did Not Cause Change in Ownership
Posted on 29 Apr 2015 by Eversheds Sutherland LLP

By Zachary Atkins and Douglas Mo A California Court of Appeal held that the sale of real property to a lessee having an original lease term of more than 35 years did not result in a change in ownership triggering reassessment for property tax purposes... Read More