Tax Law

Recent Posts

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

Physical Presence Standard Still Applies for Texas Franchise Tax After Wayfair
Posted on 9 Nov 2018 by Eversheds Sutherland LLP

The Texas Comptroller of Public Accounts recently ruled that the physical presence nexus standard continues to apply for the Texas Franchise Tax, even after South Dakota v. Wayfair, Inc., 585 U.S. ___ (2018). As a result, a California company whose only... Read More

Texas Finds No Nexus in Texas for purposes of Apportioning Margin
Posted on 1 Oct 2018 by Eversheds Sutherland LLP

The Texas State Office of Administrative Hearings (“SOAH”) found that the receipts of a non-nexus member of a combined group (Company A) “should be deleted” from the computation of the group’s gross receipts for purposes of apportioning revenue to the... Read More

House Judiciary Committee Considers Ramifications of Wayfair Decision
Posted on 25 Jul 2018 by Eversheds Sutherland LLP

On Tuesday, June 24, the Judiciary Committee of the US House of Representatives held a hearing on “Examining the Wayfair decision and its Ramifications for Consumers and Small Businesses.” The hearing was scheduled at the direction of Rep... Read More

North Carolina Supreme Court Decides in Favor of Taxpayer in Trust Nexus Dispute
Posted on 11 Jul 2018 by Eversheds Sutherland LLP

The North Carolina Supreme Court recently held that the presence in the state of a trust’s beneficiary is not sufficient to establish income tax nexus for the trust. In the Kimberly Rice Kaestner 1992 Family Trust case, the trust’s beneficiaries were... Read More

US Supreme Court Overrules Physical Presence Standard, Leaves Plenty of Questions
Posted on 22 Jun 2018 by Eversheds Sutherland LLP

In a 5-4 decision, the US Supreme Court today overruled its landmark decisions in Quill Corp. v. North Dakota  and National Bellas Hess, Inc. v. Department of Revenue of Illinois , disposing of the “physical presence” rule that has served as the bright... Read More

Georgia Legislature Enacts Significant Income, Sales, and Property Tax Legislation
Posted on 4 Apr 2018 by Eversheds Sutherland LLP

The Georgia legislative session concluded on March 29, 2018. In addition to two major bills relating to federal tax reform, Georgia enacted several other pieces of notable tax legislation. View the full Legal Alert. Continue Reading… Read More

Bay State Firm's Nexus Gambit Ruled a Sham
Posted on 18 Jun 2013 by Sean Craig

The transfer of Massachusetts employees from an in-state company to its out-of-state parent was disregarded for tax purposes by the Massachusetts Appellate Tax Board ("the Board"). The transfer, which established Massachusetts nexus for the... Read More

Maryland Court Says Unitary Relationship Creates Nexus
Posted on 5 Feb 2013 by Sean Craig

The Maryland Court of Special Appeals held that a company that lacks physical presence in Maryland has sufficient nexus to justify corporate income taxes based on its unitary relationship with an affiliate operating in the state. [ Comptroller of the... Read More

Pepper Hamilton LLP: Top 10 Lessons Learned from the Vodafone, Aditya Birla and Other Tax Cases in India
Posted on 4 Oct 2011 by Pepper Hamilton LLP

By Steven D. Bortnick , Valérie Demont and Bipul K. Mainali The rulings of the Bombay High Court in the famous US$2.5 billion tax assessment case against Vodafone in Vodafone v. Union of India and the rulings more recently in... Read More

Sutherland Legal Alert: BATSA Up: Congress Once Again Considers Nexus Legislation
Posted on 26 Apr 2011 by Eversheds Sutherland LLP

By Stephen P. Kranz and Lisbeth A. Freeman Would Thomas Jefferson approve of Congress imposing its will on state efforts to collect income tax from out-of-state companies? That was the question posed by Rep. Steve Cohen (D-TN) to two sponsors of the Business... Read More