Read our September 2018 posts on stateandlocaltax.com or read each article by clicking on the title. For the latest coverage and commentary on state and local tax developments delivered directly to your phone, download the latest version of the Eversheds Sutherland SALT Shaker app.

  • SALT Pets of the Month: Bear and Bacco
    Meet Bear and Bacco, the dynamic lab duo belonging to Eversheds Sutherland tax partner Brad Seltzer and his wife, Jenny.
  • New Jersey Tax Court Upholds Division’s Use of 25/50/25 Sourcing Rule
    The New Jersey Tax Court upheld the New Jersey Division of Taxation’s use of the 25/50/25 sourcing rule for “certain services” against a provider of mass messaging services by fax, email and voice. Specifically, the court upheld the Division’s determination of a 76% receipts factor, which consisted of 25% for all transactions originating in New Jersey, 50% for all transactions performed in New Jersey, and 1% for the percentage of transactions that terminated in New Jersey. Because the court determined that the taxpayer performed its service entirely in New Jersey, it stated that a 100% receipts factor could also have been appropriate under a cost-of-performance sourcing method.

FEATURED VIDEOS

  • Videocast: Reactions to Wayfair
    The US Supreme Court recently overruled the long-standing “physical presence rule” that barred states from imposing sales tax collection requirements on certain out-of-state sellers. However, in South Dakota v. Wayfair, Inc., the Court did not clearly state a new standard to replace the physical presence rule. States are responding to the decision in different ways. In this Bottom Line videocast, Eversheds Sutherland attorneys Todd Lard and Jessica Eisenmenger discuss:

    • the US Supreme Court’s decision in Wayfair;
    • the ambiguity of the new nexus standard; and
    • three approaches to nexus that states are taking in the wake of the Wayfair decision
  • Videocast: SALT Scoreboard – 2018 Mid-Year Review
    The quarterly Eversheds Sutherland SALT Scoreboard tallies significant state and local tax litigation wins and losses. In this Bottom Line videocast, Eversheds Sutherland attorneys Charles Capouet and Justin Stone discuss the results from the first two quarters of 2018, including:

      • how taxpayers have fared in litigation in the first two quarters of 2018 compared to 2016 and 2017;
      • three of the main cases from the second quarter of 2018: South Dakota v. Wayfair, Inc., Health Net, Inc. v. Oregon Department of Revenue, and Matter of XO Communications Services, LLC; and
      • the recent Cook County Circuit Court decision, Labell v. City of Chicago, which upheld Chicago’s amusement tax on streaming services.

    SALT SOCIETY

    SALT Society features events in the lives of tax practitioners. Check out our recent posts: Women in Tax Rock! and The Tale of Two Todds.

    We want to hear from you! Please share pictures from your vacation, a favorite hobby, family news or a new house!

Read our August 2018 posts on stateandlocaltax.com or read each article by clicking on the title. For the latest coverage and commentary on state and local tax developments delivered directly to your phone, download the latest version of the Eversheds Sutherland SALT Shaker app.

FEATURED VIDEOS

  • Videocast: State tax considerations of IRC § 965
    In this Bottom Line videocast, Eversheds Sutherland attorneys Aaron Payne and Todd Betor discuss the state tax consequences and considerations of IRC § 965. This videocast includes:

    • A federal income tax overview of IRC § 965
    • SALT considerations of IRC § 965
    • Specific state responses
  • Videocast: Indirect tax compliance in the global digital economy
    In this video, Eversheds Sutherland (US) Partner Maria Todorova and Eversheds Sutherland (International) Partner Giles Salmond discuss:

    • Why taxpayers need to be aware of the global indirect tax landscape
    • Impact of the Wayfair decision on indirect taxes
    • Why indirect taxes are important if you supply digitized services

SALT SOCIETY

Send us your news for the next issue of SALT Society, which features events in the lives of state and local tax practitioners. Please share pictures from your vacation, a favorite hobby, a new baby, wedding news or a house move!

The Eversheds Sutherland SALT Team is always excited to see what kind of pets our clients and friends have. Our team features a different pet at the end of every month, and we want to feature YOURS! Featured pets will receive a fun prize from the SALT Team. The deadline for August submissions is Monday, August 27.

To submit your pet to be featured, visit the Eversheds Sutherland SALT Shaker App, click “Pet of the Month” in the drop-down, then click “Submit A Pet.”

Don’t have the app? It is available for download in the Apple App StoreGoogle Play and the Amazon Appstore.

View previously-featured furry friends.

Read our July 2018 posts on stateandlocaltax.com or read each article by clicking on the title. For the latest coverage and commentary on state and local tax developments delivered directly to your phone, download the latest version of the Eversheds Sutherland SALT Shaker app.

FEATURED PUBLICATIONS

  • Eversheds Sutherland SALT Scoreboard Publication–Second Quarter 2018
    This is the tenth edition of the Eversheds Sutherland SALT Scoreboard, and the second edition of 2018. Each quarter, we tally the results of what we deem to be significant taxpayer wins and losses and analyze those results. This edition of the SALT Scoreboard includes a discussion of the United States Supreme Court’s decision in South Dakota v. Wayfair, Inc., insights regarding Chicago’s taxation of streaming video, and a spotlight on New York cases.

INTRODUCING SALT SOCIETY

  • We at the SALT Shaker are serious about our mission to shake things up in state and local tax, which is why we are launching SALT Society. In addition to tracking legislation, analyzing cases and previewing upcoming presentations, we want to share the happenings that impact the lives of state and local tax practitioners.The SALT Society will allow us to not only celebrate your pets, but also to celebrate you! Please share with us pictures from your personal events such as a vacation, a favorite hobby, a new baby, wedding news or a house move. We plan to share our important happenings as well. Kicking things off are photos of Jeff Friedman’s summer trip to Cuba with his daughter and Maria Todorova’s adventures with her family in Alaska.

EVENTS – LEARN ABOUT OUR UPCOMING EVENTS

The Eversheds Sutherland SALT Team is always excited to see what kind of pets our clients and friends have. Our team features a different pet at the end of every month, and we want to feature YOURS! Featured pets will receive a fun prize from the SALT Team. The deadline for July submissions is Wednesday, July 25.

To submit your pet to be featured, visit the Eversheds Sutherland SALT Shaker App, click “Pet of the Month” in the drop-down, then click “Submit A Pet.”

Don’t have the app? It is available for download in the Apple App StoreGoogle Play and the Amazon Appstore.

View previously-featured furry friends.

Read our June 2018 posts on stateandlocaltax.com or read each article by clicking on the title. For the latest coverage and commentary on state and local tax developments delivered directly to your phone, download the latest version of the Eversheds Sutherland SALT Shaker app.

FEATURED PUBLICATIONS

  • The Sales Taxation of Virtual Currency
    Bitcoin and other virtual currencies may be the most controversial financial assets on the market right now and are certainly the most discussed. In their article for Bloomberg BNA, Eversheds Sutherland attorneys Jonathan Feldman and Christopher Beaudro examine the state sales tax implications of selling virtual currency.

FEATURED EVENTS

  • State Tax Reform Roundtables
    Eversheds Sutherland Partners Jeff Friedman, Todd Lard and Eric Tresh present on the Tax Executives Institute’s (TEI) State and Local Tax Committee’s series of State Tax Reform Roundtables. The series of calls will enable SALT professionals to stay abreast of state tax developments associated with the Tax Cuts and Jobs Act, to engage with subject-matter experts, and to hear from peers regarding their “boots on the ground” knowledge and experience.

EVENTS – LEARN ABOUT OUR UPCOMING EVENTS

The Tax Executives Institute’s (TEI) State and Local Tax Committee is holding a series of State Tax Reform Roundtables to enable SALT professionals to stay abreast of state tax developments associated with the Tax Cuts and Jobs Act, to engage with subject-matter experts, and to hear from peers regarding their “boots on the ground” knowledge and experience.

This series of calls will create a platform for all members to learn, share and engage about issues of interest. Each call will highlight a particular topic and will provide a general update of state tax reform developments. Partners Jeff Friedman, Eric Tresh and Todd Lard will present on the roundtable calls, and details of their presentations are below.

IRC 965, BEAT, GILTI and FDII – Through the Lens of a SALT Professional + Recent Developments

June 21, 2018

Presenter: Jeff Friedman

Legislative Roundup – What are the States Doing + Recent Developments

July 19, 2018

Presenters: Eric Tresh and Todd Lard

IRC Sec 118, Credits and Incentives – What To Do With All That “New Cash” + Recent Developments

August 9, 2018

Presenter: Todd Lard

Join the roundtable community now!

The Eversheds Sutherland SALT Team is always excited to see what kind of pets our clients and friends have. Our team features a different pet at the end of every month, and we want to feature YOURS! Featured pets will receive a fun prize from the SALT Team.

To submit your pet to be featured, visit the Eversheds Sutherland SALT Shaker App, click “Pet of the Month” in the drop-down, then click “Submit A Pet.”

Don’t have the app? It is available for download in the Apple App StoreGoogle Play and the Amazon Appstore.

View previously-featured furry friends.

Read our May 2018 posts on stateandlocaltax.com or read each article by clicking on the title. For the latest coverage and commentary on state and local tax developments delivered directly to your phone, download the latest version of the Eversheds Sutherland SALT Shaker app.

FEATURED PUBLICATIONS

  • State Tax After TCJA: Treatment Of International Income
    The Tax Cuts and Jobs Act, P.L. 115-97,[1] made sweeping changes to the Internal Revenue Code, and will have far-reaching implications for state tax systems that broadly conform to the IRC. In this article for Law360, Eversheds Sutherland attorneys Jeffrey Friedman, Eric Tresh, Todd Lard and Todd Betor focus on the major state income tax implications of the TCJA’s international tax provisions, including: the transition tax imposed by revised IRC § 965; the foreign-source dividends received deduction, or DRD, allowed by new IRC § 245A; the tax on global intangible low-taxed income, or GILTI, in new IRC § 951A and related deduction in IRC § 250; the deduction allowed for foreign-derived intangible income, or FDII, in new IRC § 250; and the base erosion anti-abuse tax, or BEAT, imposed under new IRC § 59A.
  • A Pinch of SALT: Implications of the MTC’s Market-Based Sourcing Model Regulations
    It is more complicated to determine an in-state sale regarding the provision of multistate services or licenses of intangibles. Historically, states looked to a taxpayer’s costs of performing the service or licensing the intangible. Some states have become critical of this cost-of-performance method and replaced it with a market-based method of computing in-state sales. In this edition of A Pinch of SALT, Eversheds Sutherland Partner Jeffrey Friedman discusses the recent amendments to the Multistate Tax Commission’s (MTC) Model General Allocation and Apportionment Regulations; how the model regulations can be further improved; how states are responding to the model regulations; and what is next for the MTC.

FEATURED EVENTS

  • Eversheds Sutherland SALT Shakes Things Up in the Big Easy!
    Eversheds Sutherland was delighted to sponsor and lead the two days of TEI’s Audit and Appeals seminar focused on State and Local Tax Controversy (May 2–3, 2018).
  • State and Local Tax Day
    The Eversheds Sutherland SALT team presented at the Tax Executives Institute (TEI) Denver Chapter State and Local Tax Day on May 15, 2018, in Lakewood, Colorado.
  • TEI’s 2018 Region II Forum
    Eversheds Sutherland is a proud co-sponsor of the 2018 TEI Region II Tax Forum taking place June 4-5, 2018, at the Borgata Hotel in Atlantic City, New Jersey. The Tax Forum will include four plenary and ten breakout sessions offering a wide selection of federal, international, and state and local topics.

EVENTS – LEARN ABOUT OUR UPCOMING EVENTS