Read our August 2017 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: Eleanor and Casper
Meet five-year-old Eleanor and two-year-old Casper, the beloved pets of Kathryn McClure, Senior State Tax Director at NBC Universal (a Comcast company).
- Colorado DOR Addresses How Affiliated Group with Different Commercial Activities Must Allocate and Apportion Income
In a private letter ruling, the Colorado Department of Revenue stated that an affiliated group of corporations engaged in distinctly different commercial activities requiring different apportionment methodologies under Colorado law could use the allocation and apportionment methodology set forth in two previous private letter rulings (PLR-11-002 and PLR 15-005) to calculate the group’s combined income tax liability.
- Indiana Has Quill in Its Sights
Effective July 1, 2017, Indiana has added an economic nexus provision to its sales tax law.
- Minnesota Supreme Court Respects Federal Check-the-Box Election for Minnesota Combined Reporting Purposes
The Minnesota Supreme Court respected a foreign entity’s federal check-the-box election for the purpose of determining which entities were included in the Minnesota combined franchise tax reports.
- New York State Tax Appeals Tribunal: Payments to Captive Insurance Company Did Not Qualify as Deductible Insurance Premiums
The New York State Tax Appeals Tribunal released its precedential decision in Stewart’s Shops, affirming an Administrative Law Judge’s determination that payments by a corporation to its captive insurance company did not qualify as deductible insurance premiums because the arrangement did not constitute insurance for federal income tax purposes.
- Bundled Up: Rhode Island Division of Taxation Finds Subscription Fee Subject to Sales and Use Tax
The Rhode Island Division of Taxation ruled that a monthly or annual membership fee that allowed customers to access various benefits associated with shopping on a taxpayer’s website—including discounted shipping benefits; streaming or downloading movies and music; photo storage; and access to games and in-game content—is subject to sales and use tax.
- Roam Where You Want To: City of Seattle Lacks Authority to Tax Foreign Roaming Charges
The Washington Court of Appeals recently held that Seattle could not impose a utility tax on revenue derived from international roaming charges (charges for mobile telephone communications that originate in a foreign country).
- Videocast: SALT Scoreboard – 2017 Mid-Year Review
The quarterly Eversheds Sutherland SALT Scoreboard tallies significant state and local tax litigation wins and losses.
- Sugar-Sweetened Beverage Taxes Burden Taxpayers
To raise revenue and tackle health concerns, a number of localities have imposed sugar-sweetened beverage (SSB) taxes. However, localities may have limited guidance on how these taxes are administered. Read this Bloomberg BNA article, by Eversheds Sutherland (US) attorneys Jonathan Feldman and Alla Raykin, which discusses the sugar-sweetened beverage tax background, why local SSB taxes are so problematic, and implications for taxpayers.
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Eversheds Sutherland Associate DeAndre Morrow Selected as One of The National Black Lawyers Top 40 Under 40
WASHINGTON—Eversheds Sutherland is pleased to announce that Associate DeAndre R. Morrow has been selected as one of The National Black Lawyers Top 40 Under 40. He joins an elite group of attorneys from Washington DC and across the country as members of the organization composed of outstanding black attorneys under the age of 40 who exemplify superior leadership and achievements in the legal industry and within their communities.