State & Local Tax Takeaways From May
Many states, looking at a new fiscal year starting in July, finalized their budgets in May, with significant tax implications for individuals and businesses. New York will reduce income taxes on lower- to middle-income taxpayers. In Washington state, several measures intended to close a $16 billion shortfall include an expansion of the sales tax to digital advertising. Here, Law360 presents these and other state and local tax developments to know from the past month.
Ohio Judge Slams Eaton For Ongoing IRS Disclosure Fight
An Ohio federal judge denied Eaton Corp.'s bid to withhold foreign employee evaluations from the IRS, ruling Friday that the power management multinational's "astounding amount of effort" to fight disclosure has been a poor use of judicial resources.
Tax 'Magician' Gets 4 Years For $145M Return Fraud
A tax preparer who falsified returns to the tune of $145 million in tax losses to the federal government was sentenced to four years in prison — half of what prosecutors had pushed for — after telling a New York federal court that he meant to help poor customers.
State & Local Tax Takeaways From May
Many states, looking at a new fiscal year starting in July, finalized their budgets in May, with significant tax implications for individuals and businesses. New York will reduce income taxes on lower- to middle-income taxpayers. In Washington state, several measures intended to close a $16 billion shortfall include an expansion of the sales tax to digital advertising. Here, Law360 presents these and other state and local tax developments to know from the past month.
Ohio Judge Slams Eaton For Ongoing IRS Disclosure Fight
An Ohio federal judge denied Eaton Corp.'s bid to withhold foreign employee evaluations from the IRS, ruling Friday that the power management multinational's "astounding amount of effort" to fight disclosure has been a poor use of judicial resources.
Tax 'Magician' Gets 4 Years For $145M Return Fraud
A tax preparer who falsified returns to the tune of $145 million in tax losses to the federal government was sentenced to four years in prison — half of what prosecutors had pushed for — after telling a New York federal court that he meant to help poor customers.
Federal More
A split Ninth Circuit on Friday refused to lift a California federal judge's preliminary block of President Donald Trump's executive order directing layoffs at federal agencies, handing a win to a coalition of... (more story)
President Donald Trump and a key U.S. official engaged in trade talks with China said Friday that those negotiations have stalled and China may be violating terms of the 90-day tariff reprieve agreed to earlie... (more story)
The wife of a bitcoin investor sentenced to prison for concealing millions of dollars from the IRS asked a Texas federal court Friday to stop the federal government from taking her money to help make up for $1... (more story)
A Pennsylvania couple who purchased a Maserati and a Porsche and took trips to international destinations while owing the Internal Revenue Service $1.77 million should be required to pay those tax debts, a Pen... (more story)
The nine Am Law 100 firms that settled with the Trump administration likely did so because of the personal risk faced by equity partners in today's billion‑dollar national practices, enabled by an ethics rule ... (more story)
Provisions in the budget reconciliation bill recently passed by the U.S. House of Representatives would rapidly phase out clean energy tax credits, constrain renewable energy financing arrangements and impose ... (more story)
In this week's Taxation With Representation, WiseTech completes a $2.1 billion merger with E2open, Acrisure buys a payroll management company for $1.1 billion and Hailey Bieber sells her Rhode skincare and mak... (more story)
State & Local More
Ex-Mich. Speaker, Wife To Face Nonprofit Embezzlement Trial
Former speaker of the Michigan House of Representatives Lee Chatfield and his wife on Friday were sent to circuit court to stand trial on allegations that the former speaker misused state and campaign funds, a... (more story)
Nicotine Tax Dispute Heads To Texas Supreme Court
The Texas Supreme Court on Friday agreed to review a dispute over whether a vape company that sells oral nicotine products should be subject to a state tax on tobacco products.
Pa. Justices Back Hospital Tax Break Despite High Salaries
The corporate structure and high executive pay at a Montgomery County, Pennsylvania, hospital were not reason enough to take away its nonprofit, tax-exempt status, the state Supreme Court ruled Friday.
DC Budget Plan Would OK Gambling, Repeal Child Tax Break
Washington, D.C., would legalize and tax certain gambling activities and repeal its new child tax credit before it is ever used under a budget and revenue proposal that also promises cuts in services.
Minn. Tax Court Blasts County Counsel For AI-Written Brief
Counsel for a Minnesota county submitted a brief to the state tax court generated by artificial intelligence with five legal citations for cases that did not exist, the court said, referring the matter to a st... (more story)
AT&T Unit Loses Dispute Over Calif. Property Tax Rates
AT&T unit Pacific Bell and other phone companies failed to prove that a California county's differing tax rates for locally assessed and state-assessed properties are unconstitutional, a state appeals court affirmed.
Mass. Can't Delay Developer's Suit Over Brownfields Credit
Massachusetts tax officials who have taken more than two years to consider the appeal of a denied brownfields tax credit must hand over the administrative record in the case so that a developer can pursue a mo... (more story)
DC Court Blocks Trump's Tariffs As Overreach Of Power
The International Emergency Economic Powers Act does not empower the president to impose tariffs, the D.C. federal district court said Thursday, ruling that President Donald Trump's global levies are unlawful ... (more story)
Ore. Extends Tax Breaks For Affordable Housing Development
Oregon will delay the expiration of three property tax breaks intended to help the development of affordable housing under legislation signed by Democratic Gov. Tina Kotek.
Former speaker of the Michigan House of Representatives Lee Chatfield and his wife on Friday were sent to circuit court to stand trial on allegations that the former speaker misused state and campaign funds, a... (more story)
The Texas Supreme Court on Friday agreed to review a dispute over whether a vape company that sells oral nicotine products should be subject to a state tax on tobacco products.
The corporate structure and high executive pay at a Montgomery County, Pennsylvania, hospital were not reason enough to take away its nonprofit, tax-exempt status, the state Supreme Court ruled Friday.
Washington, D.C., would legalize and tax certain gambling activities and repeal its new child tax credit before it is ever used under a budget and revenue proposal that also promises cuts in services.
Counsel for a Minnesota county submitted a brief to the state tax court generated by artificial intelligence with five legal citations for cases that did not exist, the court said, referring the matter to a st... (more story)
AT&T unit Pacific Bell and other phone companies failed to prove that a California county's differing tax rates for locally assessed and state-assessed properties are unconstitutional, a state appeals court affirmed.
Massachusetts tax officials who have taken more than two years to consider the appeal of a denied brownfields tax credit must hand over the administrative record in the case so that a developer can pursue a mo... (more story)
The International Emergency Economic Powers Act does not empower the president to impose tariffs, the D.C. federal district court said Thursday, ruling that President Donald Trump's global levies are unlawful ... (more story)
Oregon will delay the expiration of three property tax breaks intended to help the development of affordable housing under legislation signed by Democratic Gov. Tina Kotek.
International More
HMRC Correctly Handled Land Tax Dodge, UK Court Says
HM Revenue & Customs followed the correct procedures to collect taxes on six individuals who attempted to dodge the U.K.'s land tax by transacting with a special purpose vehicle in Guernsey, the Upper Tribunal ruled.
US Tariffs Spark Profit Warnings For UK Pension Sponsors
British businesses might seek to tap into pension surpluses because of ongoing financial losses caused by U.S. tariffs, a professional services firm has warned.
International Trade Court Strikes Down Trump's Tariffs
The International Emergency Economic Powers Act does not give the president the "unbounded authority" to impose tariffs on goods from nearly every country in the world, the U.S. Court of International Trade ru... (more story)
Fintech Group Warns Remittance Tax Will Hurt Consumers
The American Fintech Council sent a letter to members of Congress asking them to reconsider a proposed tax on remittances that is a part of the $3.8 trillion bill to extend and make permanent the Republican Pa... (more story)
Fried Frank Adds KPMG International Tax Ace In NY
Fried Frank Harris Shriver & Jacobson LLP has hired a KPMG international tax group principal as a tax partner in New York.
UK Eyes Cutting Pension Tax Breaks To Boost Revenue
The government could be considering the removal of tax breaks on workplace pensions salary-sacrifice plans, experts have warned, as part of an effort to increase revenue in the next budget.
Ruling Tariffs Unlawful Would 'Kneecap' Trump, Gov't Says
A ruling from a D.C. federal judge invalidating the Trump administration's use of the International Emergency Economic Powers Act to impose sweeping global tariffs would "kneecap" the president and cause "dipl... (more story)
HM Revenue & Customs followed the correct procedures to collect taxes on six individuals who attempted to dodge the U.K.'s land tax by transacting with a special purpose vehicle in Guernsey, the Upper Tribunal ruled.
British businesses might seek to tap into pension surpluses because of ongoing financial losses caused by U.S. tariffs, a professional services firm has warned.
The International Emergency Economic Powers Act does not give the president the "unbounded authority" to impose tariffs on goods from nearly every country in the world, the U.S. Court of International Trade ru... (more story)
The American Fintech Council sent a letter to members of Congress asking them to reconsider a proposed tax on remittances that is a part of the $3.8 trillion bill to extend and make permanent the Republican Pa... (more story)
Fried Frank Harris Shriver & Jacobson LLP has hired a KPMG international tax group principal as a tax partner in New York.
The government could be considering the removal of tax breaks on workplace pensions salary-sacrifice plans, experts have warned, as part of an effort to increase revenue in the next budget.
A ruling from a D.C. federal judge invalidating the Trump administration's use of the International Emergency Economic Powers Act to impose sweeping global tariffs would "kneecap" the president and cause "dipl... (more story)