In the aftermath of the US Supreme Court’s 1984 decision in Chevron U.S.A. Inc. v. Natural Resources Defense Council Inc., federal judges became exceedingly deferential to administrative agencies’ interpretations of apparently ambiguously drafted laws. As the impact of Chevron evolved, flaws in its holding became apparent across almost every area of law, including tax.
Deference
On the fence on deference: A turning point in state tax controversy
The power and reach of administrative agencies — often led by unelected officials — has long been a source of controversy. Nearly 40 years ago, in Chevron U.S.A. Inc. v. Natural Resources Defense Council Inc., the U.S. Supreme Court held that an administrative agency’s interpretation of a statute administered by that agency should be given deference…
Potential State Tax Implications of Altera Corp. v. Commissioner
The U.S. Supreme Court recently denied cert in Altera Corp. v. Commissioner. This podcast addresses the Altera decision’s impact on transfer pricing and deference. This podcast also addresses prior state transfer pricing decisions and strategies to defend state transfer pricing audits.
For more information on this topic here is a link to a recent article…
Mississippi Supreme Court Doubles Down Denying Deference to DOR Regulation
The Mississippi Supreme Court held that a state chancery court erred in deferring to the Mississippi Department of Revenue and Mississippi Gaming Commission’s regulatory interpretation of a Mississippi tax statute governing the computation of the state gaming license fee. However, the court agreed with the chancery court that costs of prizes from casino rewards program…