Shaking things up in state and local tax
Shaking things up in state and local tax
Nexus, apportionment, market-based sourcing, voluntary disclosures... no single business can stay on top of all the state-by-state legislation and regulatory guidance changing SALT income tax strategies today.
That’s why Eversheds Sutherland has a multistate team of attorneys dedicated to knowing the latest — and using it to your advantage...Read More
The increase in people who work remotely means some financial planners may need to reassess clients’ income sources to avoid a tax surprise.
In his article for Journal of Financial Planning, Eversheds Sutherland Senior Counsel Eric Coffill examines key issues related to the state income taxation of nonresident equity-based compensation and how to avoid…
On September 26, 2022, the Ohio Court of Common Pleas in Morsy v. Dumas, held that Cleveland’s municipal income tax on remote workers was unconstitutional on an “as applied” basis. The taxpayer lived in Pennsylvania and was employed by a company located in Cleveland, Ohio.
Prior to the COVID-19 pandemic, Morsy would stay in…
The New York State Tax Appeals Tribunal reversed an administrative law judge determination and held that an individual was not a statutory resident of New York in 2014 because he did not maintain a permanent place of abode in New York for 11 months of the year.
On audit, the Department of Taxation and Finance…
On August 31, 2022, the D.C. Attorney General Karl Racine announced that his office was pursuing an action against an individual, Michael Saylor, for allegedly owing individual income tax to the District as a resident under a “fraudulent scheme.” The Attorney General is also pursuing a violation of the False Claims Act related to his…
In just the first few months of the 2022 tax year, we have already seen several states introduce legislation that would decrease corporate and individual income tax rates. Idaho became the first state to pass such legislation this year, on February 4. The Eversheds Sutherland SALT team expects other states to follow and will provide…
The Oregon Tax Court, Regular Division, held that P.L. 86-272 did not preclude Oregon from imposing its excise (income) tax on an out-of-state manufacturer of cigarettes and other tobacco products based on two activities. First, the court held that the manufacturer’s mandate that the in-state wholesalers accept product returns was not a protected activity. The…
The Alaska Supreme Court found that Alaska’s combined reporting statute requiring taxpayers to include certain foreign affiliates in its income tax return was constitutional. The court rejected the taxpayer’s arguments that Alaska’s tax haven corporation reporting statute was (i) void for vagueness as it violated the Due Process Clause, (ii) discriminated against interstate commerce in…
On this episode of the SALT Shaker Podcast, Eversheds Sutherland Associates Jeremy Gove and Chelsea Marmor discuss all things New York personal income tax. They touch on two recent decisions that came out in New York – one from the Tax Appeals Tribunal and one from the Appellate Division (as Chelsea is quick to correct…
The New York State Tax Appeals Tribunal upheld an income tax assessment and disallowed taxpayers’ claim of resident tax credits (RTCs) to the extent such RTCs were claimed for taxes paid to Connecticut on the taxpayers’ carried interest income. The taxpayers, both of whom were residents of New York, were employed by an affiliate of…
The New York State Tax Appeals Tribunal affirmed an Administrative Law Judge determination that two taxpayers remained New York residents because the taxpayers did not establish that they had changed their domicile to Florida during the relevant tax years. Because the taxpayers spent “more than 30 but less than 184 days in New York,” the…
