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
The California Department of Tax and Fee Administration adopted an emergency regulation to clarify and resolve specified issues with the California Marketplace Facilitator Act (CMFA), as amended. The regulation clarifies, among other things, the registration requirements for marketplace facilitators and marketplace sellers and provides definitions for terms left undefined by the CMFA and relevant
A California Court of Appeal held that San Francisco may not impose a documentary transfer tax on the value of an existing 41-year leasehold interest upon the sale of the underlying property because the leasehold interest does not constitute “realty sold”. The taxpayer owned a commercial building and agreed to lease the ground floor to
On June 30, 2020, a California Court of Appeal affirmed a trial court decision that held the California Constitution’s requirement that local taxes be approved by a supermajority vote does not apply to taxes imposed by voter initiative. For background on the case and coverage of the trial court’s decision, see our prior Legal Alert
California uses market-based sourcing to apportion sales of other than tangible personal property to the state. Under the governing statute, sales of services are sourced to California to the extent the purchaser of the service receives the benefit in the state.1 Sales of intangible personal property are sourced to California to the extent the
Following up on our recent coverage of the California budget negotiations, on June 29th Governor Newsom signed a package of bills comprising the state’s budget for the 2020-2021 fiscal year. The budget package is composed of the primary budget bills, AB 89 and SB 74, along with numerous budget trailer bills. One trailer
In a 3-2 split vote, the California State Board of Equalization (BOE) voted against issuing formal guidance to county assessors regarding mid-year re-assessments due to declines in value caused by the COVID-19 pandemic.
On June 15, 2020, the California Legislature passed SB 74, the state budget for the 2020-2021 fiscal year. The California Constitution requires a balanced budget to be finalized by June 15th of each year. SB 74 relies on additional federal aid to balance the budget and only invokes spending cuts if federal aid is
This podcast is hosted by Tim Gustafson and features excerpts from the webcast of a casual conversation with Peter Blocker, Vice President of Tax Policy at CalTax. Tim speaks with Peter about his role at CalTax, as well as how the organization is analyzing certain California tax-related legislation, current bills he is following, and the
California imposes an income tax on the entire taxable income of state residents. Cal. Rev. & Tax. Code § 17041. For those individuals seeking to avoid taxation by the state, the question becomes: what makes a California resident for income tax purposes? Below we provide a brief overview of the various legal concepts involved in
