On July 7, 2020, the California Office of Tax Appeals (OTA) held that a foreign LLC was subject to the state’s $800 LLC tax because it held a 0.7830849% ownership interest in an LLC that owned property in San Diego. In addition to a more traditional nexus test based on an entity’s business activities in
INSIGHT: Destined for the Courtroom — Illinois Audit Program Won’t Stop Sales Tax Litigation
The Illinois Department of Revenue (IDOR) recently announced an expansion of its audit resolution program as it braces for a wave of litigation over amendments to the state’s marketplace facilitator law. The department expands its Audit Fast Track Resolution (FTR) Program to all sales and miscellaneous tax audits except for Motor Fuel Use Tax. The
Virginia provides guidance on peer-to-peer vehicle sharing tax
Virginia’s peer-to-peer vehicle sharing tax, passed in April, takes effect on October 1. Generally, vehicle owners with up to ten shared vehicles will be subject to a 6.5% gross tax. The law obligates vehicle sharing platforms to collect the tax on behalf of the owners if the platform has established sufficient contact with the state.
California Supreme Court Denies Review in Local Tax Simple vs. Super-Majority Vote Case
On September 9, 2020, the California Supreme Court denied review of the opinion of the First District Court of Appeal in City and County of San Francisco v. All Persons Interested in the Matter of Proposition C, which held a voter-initiated local special tax may pass with only a simple majority. With appeals currently
Eversheds Sutherland files amicus curiae brief on behalf of COST in San Francisco Prop C (June 2018) case
Eversheds Sutherland has filed an amicus curiae brief on behalf of the 550 members of the Council On State Taxation (COST) on the important issue of whether imposition of certain local taxes is required to be passed by a two-thirds vote by the California electorate, or a simple majority. Howard Jarvis Taxpayers Association, et al.
The Ink is Finally Dry: New York Tax Preparers No Longer Need “Wet Signatures” for E-filing
On August 24, 2020, New York Governor Andrew Cuomo signed New York S.8832, a bill authorizing tax return preparers to accept electronic signatures on e-file authorizations for purposes of filing tax documents electronically with the New York Department of Taxation and Finance. The Bill applies in the context of New York State corporation, personal income,
Eversheds Sutherland Tax Practice Expands SALT Team with Two Partners
Eversheds Sutherland is pleased to announce the addition of Breen M. Schiller and Nikki E. Dobay to the firm’s Tax Practice Group as State and Local Tax (SALT) partners. Ms. Schiller will join the firm’s Chicago office and Ms. Dobay will join the firm’s Sacramento office in the next few weeks.
Ms. Schiller is joining
The Final D.C. Budget: What’s In? What’s Out? What’s Next?
On July 28, 2020, the D.C. Council approved the Fiscal Year 2021 Budget Support Act of 2020 (“BSA”), which establishes the budget’s tax provision changes. The prior week, the D.C. Council approved the Fiscal Year 2021 Local Budget Act of 2020, which sets the budget’s expenditures. This year’s most notable event was the advertising
California’s Flawed Proposal to Expand False Claims Act to Tax
In a forthcoming article in State Tax Notes, Eversheds Sutherland SALT partner Jeff Friedman and associate Dennis Jansen explore the issues with A.B. 2570 – California’s latest attempt to extend the state’s whistleblower statute to tax claims.
The bill is purportedly designed in increase revenues by targeting tax fraud. However, instead of exposing tax
It’s an Ad, Ad, Ad, Ad District: DC Council Effectively Eliminates Proposed Advertising and Personal Information Taxes
Earlier today, the D.C. Council voted to amend the Fiscal Year 2021 Local Budget Act of 2020 (“LBA”) and effectively eliminate the proposed sales tax expansion to advertising services and personal information.
On July 21st, the Council first attempted to vote on the LBA (which sets the District’s expenditures), but the Council was unable to