State & Local

  • August 19, 2024

    Treasury Floats Timing Shift For Foreign Currency Accounting

    The U.S. Treasury Department proposed regulations Monday that would adjust the timing for when companies could opt to use the so-called mark-to-market accounting method for gains or losses that arise from foreign currency transactions.

  • August 16, 2024

    Neb. Gov. Says He'll Veto Watered-Down Property Tax Cut Bill

    Nebraska's governor said in a statement Friday that he would veto any bill passed during the Legislature's special session on property tax relief that weakens proposed caps on property tax increases.

  • August 16, 2024

    Harris Proposes Tax Break For Homebuilders

    Vice President Kamala Harris, the presumptive Democratic nominee for president, proposed several housing-related tax proposals, including creating a tax incentive for homebuilders that sell to first-time homebuyers, during a campaign speech Friday.

  • August 16, 2024

    Ohio Collects $3.8B At Start Of Fiscal Year

    Ohio collected $3.83 billion in revenue in July, the start of fiscal year 2025, in line with budget estimates, according to the state's Office of Budget and Management.

  • August 16, 2024

    Pa. Resident Owes NY Tax While Teleworking During COVID

    A Pennsylvania resident owes New York tax on days he worked from home in 2020 while his employer's office in the Empire State was closed during the COVID-19 pandemic, a New York administrative law judge determined.

  • August 16, 2024

    Association Sues Over Calif. Law Targeting Microsoft Tax Win

    A second taxpayers' group has challenged as unconstitutional a portion of California's new tax law written to prevent more wins like the one Microsoft secured when the state Office of Tax Appeals ruled it could include 100% of the dividends from foreign affiliates in its California sales factor denominator.

  • August 16, 2024

    NY Tax Doesn't Apply To Nonresident's Dividend Income

    A New York nonresident is not liable for tax on dividend income, because the dividends weren't earned as a product of work done in the state, a state administrative law judge ruled.

  • August 16, 2024

    North Carolina Joins Direct File, Maine Plans To Follow

    The Internal Revenue Service's free electronic filing tax program, Direct File, will be available in North Carolina for the 2025 tax filing season, the IRS and U.S. Department of the Treasury announced Friday, and Maine is also planning to join.

  • August 16, 2024

    Ch. 7 Trustee Can't Recover Tax Payment, States Tell Justices

    A group of roughly two dozen states threw their support behind the federal government in asking the U.S. Supreme Court to overturn a ruling that forced the IRS to return a tax payment after a bankruptcy trustee argued it was a fraudulent transfer and recoverable under state law.

  • August 16, 2024

    NJ's 13-Month Revenue Up $98M From FY 2023

    New Jersey collected $98 million more revenue over the past 13 months than in the previous fiscal year, according to a report by the state's Department of the Treasury.

  • August 16, 2024

    IRS, State Agencies, Tax Industry Create Anti-Scam Task Force

    The Internal Revenue Service announced Friday that it is teaming with state tax agencies and tax industry representatives to create a task force to combat a growing number of scams and schemes targeting taxpayers.

  • August 16, 2024

    Taxation With Representation: Cleary, Kirkland, Skadden

    In this week's Taxation with Representation, Mars Inc. sets a 2024 record with its $36 billion acquisition of Kellanova, Carlyle inks a $3.8 billion purchase with Baxter International Inc., and Performance Food Group Co. agrees to a $2.1 billion cash deal with Cheney Bros. Inc.

  • August 19, 2024

    New Jersey Legislation To Watch: A Midyear Report

    New Jersey proposals for a corporate transit tax and mandatory business showdowns during sweltering weather have generated concerns from industry sectors fatigued by rising costs, while the rise of artifical intelligence and corresponding legislation appears to have united those fearing the digital-age hazard of "deepfakes."

  • August 15, 2024

    Group Challenges Calif. Law Targeting Microsoft's Tax Win

    A portion of California's new tax law written to prevent more wins such as Microsoft secured when the state's Office of Tax Appeals ruled it could include 100% of the dividends from foreign affiliates in its California sales factor denominator is unconstitutional, a national taxpayers group said.

  • August 15, 2024

    Skechers Appeals Wis.' Nix Of Royalty Fees Deduction

    A Skechers USA subsidiary had economic substance and an additional finding of a business purpose is unnecessary for related companies to engage in transactions resulting in the company claiming nearly a half-billion dollars in deductions in Wisconsin, Skechers said in an appeal obtained Thursday by Law360.

  • August 15, 2024

    Pa. District's Appeal Method Is Constitutional, Court Affirms

    A Pennsylvania Court of Common Pleas correctly ruled that a school district did not violate the state's uniformity clause when using a monetary threshold to decide which property tax assessments to appeal, the state Commonwealth Court affirmed Thursday.

  • August 15, 2024

    Tax Pros Navigate Chaos, Rewards In Climate Law's 2nd Year

    Energy tax attorneys have been knee-deep in project finance deals for the past year since the Inflation Reduction Act of 2022 triggered a flurry of clean energy investments, but the work, they say, has been fulfilling as part of broader efforts to save the environment.

  • August 15, 2024

    Colo. Gov. Calls Special Session On Property Tax Relief

    Colorado lawmakers will return to Denver after Gov. Jared Polis called Thursday for a special session to focus on property tax relief in a bid to stave off the effect of two possible ballot measures proposing deeper cuts.

  • August 15, 2024

    Ga. Begins 2025 Fiscal Year With General Revenues Up $66M

    Georgia's general fund receipts for July, the first month of the 2025 fiscal year, were $66 million higher than last year, according to the state Department of Revenue.

  • August 15, 2024

    Ky. General Revenue In July Up $141M From Last Year

    Kentucky general revenue in July was $141 million higher than last year, according to the state Budget Director's Office.

  • August 15, 2024

    Calif. General Revenue In July $866M Over Estimates

    California's general revenue collection in the first month of the 2025 fiscal year was $866 million higher than forecast, according to the state controller.

  • August 15, 2024

    Alaska Bans Local Taxes On Transfers Of Real Property

    Alaska will not allow localities to levy or collect sales and use tax on the transfer of real property under a bill signed by the governor. 

  • August 14, 2024

    Biz Says Mich. Cities Ignore Taxpayers In Fee-Or-Tax Fight

    A pipe fitting business has urged the Michigan Supreme Court to reject municipal organizations' "histrionic" arguments that cities' financial stability will be in jeopardy if the top court finds Detroit's fire inspection fee is a disguised tax, saying the groups are disregarding citizens' rights to be free from illegal taxes.

  • August 14, 2024

    Mich. Judges Weigh Adjusting Asset Basis After Tax Law Shift

    A panel of Michigan appellate judges grappled Wednesday with whether two companies were entitled to account for depreciation they didn't receive credit for under Michigan law to increase the basis of assets they sold when determining their state tax liabilities.

  • August 14, 2024

    Biz Founder Owes Mass. Tax On $4.7M Gain, Tax Dept. Says

    A $4.7 million capital gain from a stock sale by former Massachusetts residents is subject to state tax because it stemmed from a business the couple had in Massachusetts, the state Department of Revenue told a Massachusetts appeals court, urging it to uphold the state tax board's findings.

Expert Analysis

  • SG's Office Is Case Study To Help Close Legal Gender Gap

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    As women continue to be underrepresented in the upper echelons of the legal profession, law firms could learn from the example set by the Office of the Solicitor General, where culture and workplace policies have helped foster greater gender equality, say attorneys at Ocean Tomo.

  • Thinking Big And Soaking The Rich: SALT In Review

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    From a bold and broad tax plan in Louisiana to proposed legislation targeting the well-to-do in Rhode Island and Michigan, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

  • Reimagining Law Firm Culture To Break The Cycle Of Burnout

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    While attorney burnout remains a perennial issue in the legal profession, shifting post-pandemic expectations mean that law firms must adapt their office cultures to retain talent, say Kevin Henderson and Eric Pacifici at SMB Law Group.

  • High Court Case Could Reshape Local Development Fees

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    If last month's oral arguments are any indication of how the U.S. Supreme Court will rule in Sheetz v. County of El Dorado, it's unlikely the justices will hold that the essential nexus and rough proportionality tests under the cases of Nollan, Dolan and Koontz apply to legislative exactions, but a sweeping decision would still be the natural progression in the line of cases giving property owners takings claims, says Phillip Babich at Reed Smith.

  • Nebraska Should Abandon Proposed Digital Ad Tax

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    If passed, Nebraska’s recently proposed Advertising Services Tax Act, which would finance property tax relief by imposing a 7.5% gross revenue tax on advertising services, would cause a politically risky shift of tax burdens from landowners to local businesses and consumers, and would most certainly face litigation, say attorneys at McDermott.

  • The Legal Industry Needs A Cybersecurity Paradigm Shift

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    As law firms face ever-increasing risks of cyberattacks and ransomware incidents, the legal industry must implement robust cybersecurity measures and privacy-centric practices to preserve attorney-client privilege, safeguard client trust and uphold the profession’s integrity, says Ryan Paterson at Unplugged.

  • As Promised, IRS Is Coming For Crypto Tax Evaders

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    The IRS is fulfilling its promise to crack down on those who have neglected to pay taxes on cryptocurrency earnings, as demonstrated by recently imposed prison sentences, enforcement initiatives and meetings with international counterparts — suggesting a few key takeaways for taxpayer compliance, say attorneys at BakerHostetler.

  • 5 Reasons Associates Shouldn't Take A Job Just For Money

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    As a number of BigLaw firms increase salary scales for early-career attorneys, law students and lateral associates considering new job offers should weigh several key factors that may matter more than financial compensation, say Albert Tawil at Lateral Hub and Ruvin Levavi at Power Forward.

  • The Pop Culture Docket: Judge Djerassi On Super Bowl 52

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    Philadelphia Court of Common Pleas Judge Ramy Djerassi discusses how Super Bowl 52, in which the Philadelphia Eagles prevailed over the New England Patriots, provides an apt metaphor for alternative dispute resolution processes in commercial business cases.

  • Envy, Regressivity And Other Sins: SALT In Review

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    From a California official's remarks on a star athlete's contract to another study documenting the regressivity of tax policies across the land, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

  • Employee Experience Strategy Can Boost Law Firm Success

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    Amid continuing business uncertainty, law firms should consider adopting a holistic employee experience strategy — prioritizing consistency, targeting signature moments and leveraging measurement tools — to maximize productivity and profitability, says Haley Revel at Calibrate Consulting.

  • 6 Practice Pointers For Pro Bono Immigration Practice

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    An attorney taking on their first pro bono immigration matter may find the law and procedures beguiling, but understanding key deadlines, the significance of individual immigration judges' rules and specialized aspects of the practice can help avoid common missteps, says Steven Malm at Haynes Boone.

  • Lessons From Country Singer's Personal Service Saga

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    Recent reports that country singer Luke Combs won a judgment against a Florida woman who didn’t receive notice of the counterfeit suit against her should serve as a reminder for attorneys on best practices for effectuating service by electronic means, say attorneys at Jenner & Block.

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