Following in the footsteps of Ohio more than 20 years ago, more than 20 states have enacted addback statutes, which generally limit taxpayers from reducing their state income tax liability by deducting interest and intangible expenses paid to out-of-state related parties. In this edition of A Pinch of SALT, Sutherland SALT’s Michele Borens and Jessica Kerner outline the three basic components shared by all addback statutes, analyze litigation involving those components and explore the lack of litigation on addback statutes.

Read “20 Years of Ambiguity in Addback Statutes,” reprinted with permission from State Tax Notes.