The Colorado Court of Appeals held that sales tax bad debt credits may not be claimed by a financial company that issued private label credit cards. As a private label retail credit card issuer, Capital One financed purchases made by its cardholders. Under the terms of its agreements with retailers, Capital One financed purchases made
refund
New Mexico Court of Appeals Invalidates Refund-Claim Requirement Not Found In Statute
The New Mexico Court of Appeals held that a taxpayer’s refund claim was timely even though it did not comply with a requirement found in the Department of Revenue’s regulation. Specifically, the court concluded that the Department’s regulatory requirement to provide a “fully completed amended return” was not required prior to the expiration of the…
California’s Ninth Circuit Says Deprivation of $3.76 is Enough for Standing
The Ninth Circuit concluded that a plaintiff had standing to continue her lawsuit against a clothing company alleging that the company wrongly failed to pay interest on refunded Alaska sales taxes. After a related lawsuit was filed alleging that sales taxes were incorrectly collected, LuLaRoe, Inc. refunded the plaintiff $531.25 in sales tax charges. The…
Maryland’s Limited Interest on Wynne Refunds Ruled Unconstitutional
Maryland Tax Court holds that Maryland’s limitation of interest on refunds resulting from the US Supreme Court’s decision in Comptroller of the Treasury of Maryland v. Wynne violates the US Constitution.
- In 2014, the Maryland legislature passed a law to retroactively limit the statutory interest rate on refunds related to the Comptroller of the Treasury
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Maybe Next Season? Georgia Tax Bills Collapse in Last Day of Session
The Georgia General Assembly passed significant tax legislation impacting selected industries, but failed to pass a number of broader tax bills:
- Passed legislation impacts telecommunications, film production and music production companies and causes the review of all income and sales and use tax exemptions.
- Stalled legislation included the reduction of the individual income tax rate,
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Check Your Michigan Unitary Group Filings–LaBelle Is Final
Last week, the Michigan Department of Treasury issued a Notice to Taxpayers explaining its approach in administering the now final Michigan Court of Appeals decision in LaBelle Management, Inc. v. Department of Treasury, 888 N.W.2d 260 (Mich. Ct. App. 2016), leave to appeal denied by 889 N.W.2d 250 (Mich. 2017) (mem.). The Court invalidated…
Michigan Court of Appeals Determines Pre-Assessment Collection of Tax Not Barred By Statute of Limitations
By Doug Upton and Madison Barnett
The Michigan Court of Appeals held that a taxpayer was precluded from recovering sales tax it voluntary paid in response to a preliminary audit determination, even though assessment of the tax may have otherwise been barred under the four-year statute of limitations. The court reasoned that a preliminary audit…
Louisiana’s “Quest” for Market-Based Sourcing Denied: Appellate Court Holds Medical Tests Performed in Texas Are Not Sourced to Louisiana
By Nick Kump and Scott Wright
The Louisiana Court of Appeal held that income derived from diagnostic testing of Louisiana patients’ blood samples and other medical specimens performed in Texas should be sourced to Texas for corporate income tax apportionment purposes. The taxpayer, which operates a multistate network of laboratories where it performs medically prescribed…
Here’s the Deal: Georgia Governor Signs Several Significant Tax Bills
Georgia Governor Nathan Deal has signed into law several significant tax bills, affecting various Georgia tax matters, including sales and use taxes, property taxes, corporate income taxes and state tax credits, which:
- Adjust Georgia’s statutory interest rates applicable for both assessments and refunds for all tax types, as well as create new procedural requirements for
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Georgia Keeps It Interesting: Legislature Passes Novel Law on Interest Rates and Refund Claims
On March 24, the Georgia General Assembly passed House Bill 960, which would adjust the statutory interest rate applicable to tax assessments and refunds and addresses other issues related to refund claims for Georgia sales and use taxes. H.B. 960 passed the legislature while the Georgia Department of Revenue continues to consider regulatory action that would …