Tax

  • January 18, 2018

    Renewable Energy Grant Bout Must Go To Trial, Judge Says

    Two energy companies must take their lawsuit to trial in a dispute against the government over $24 million in renewable energy cash grants after a U.S. Court of Federal Claims judge denied both sides’ bids for early wins on Wednesday.

  • January 18, 2018

    Amazon Trims List Of 'HQ2' Contenders To 20

    Amazon.com Inc. pared down its list of potential locations for a second North American headquarters to 20, saying Thursday it will decide from a select group of candidates that includes New York City, Los Angeles, Chicago, Austin, Philadelphia, Miami and Newark, New Jersey.

  • January 17, 2018

    EU Floats Rules To Give Countries More VAT Flexibility

    The European Commission continued its efforts to drastically overhaul the value-added tax system on Thursday by floating new rules that would loosen the rate restrictions for its member countries and reduce the compliance costs for small businesses. 

  • January 17, 2018

    Greenberg Traurig Faces DQ Bid By Onetime Vet-Led Client

    Florida-based government contractor National Sourcing Inc. asked a court Tuesday to disqualify Greenberg Traurig PA from representing a subcontractor and others because of the firm's previous work for NSI, a disabled veteran-owned company.

  • January 17, 2018

    Apple Expects $38B Tax Hit On Overseas Cash From GOP Bill

    Apple Inc. said Wednesday it expects to pay $38 billion in taxes on repatriated funds brought from overseas as required by the new federal tax overhaul, noting it would likely be the largest payment of its kind ever made.

  • January 17, 2018

    IRS Delays Penalty For Excise Tax On Medical Devices

    The Internal Revenue Service will not impose a penalty on medical device manufacturers that fail to make excise tax deposits due in the first three quarters of the year, according to an announcement on Wednesday.

  • January 17, 2018

    Martha’s Vineyard Exorcist Gets Over 2 Years, $4.2M Penalty

    A prominent East Coast psychic was sentenced on Wednesday to two years and two months in prison and agreed to repay more than $4.2 million of income plus taxes she admitted to concealing over seven years that an elderly Martha's Vineyard woman paid to undergo exorcism routines.

  • January 17, 2018

    Utah Law Can't Restrain Fed. Tax Collection, 10th Circ. Told

    The U.S. government appealed to the Tenth Circuit on Tuesday, after a Utah federal court knocked down its bid to collect approximately $1.5 million in estate taxes from the heirs of a hotel and casino operator in Nevada.

  • January 17, 2018

    House May Vote On Spending Bill Delaying ACA Taxes

    The House could vote as early as Thursday on a short-term government funding bill that would delay the onset of three taxes originally enacted in the Affordable Care Act health care reform law, but the legislation could stall as Republicans and Democrats disagree on what should be included in the measure.

  • January 17, 2018

    NY Tax Dept. Proposes State Law Changes In Light Of TCJA

    The New York State Department of Taxation and Finance presented Democratic Gov. Andrew Cuomo with a preliminary report Wednesday outlining potential modifications to the state’s tax code that could help minimize the impact the Tax Cuts and Jobs Act, P.L. 115-97, is expected to have in high-tax states.

  • January 17, 2018

    Eaton Clashes With IRS In Tax Court Over Foreign Income

    Eaton Corp. clashed with the IRS in the U.S. Tax Court on Wednesday over the question of when a foreign subsidiary’s income becomes taxable in the U.S., in the latest skirmish between the power management company and the federal tax agency.

  • January 17, 2018

    Meaning Of Money Key In $13M High Court Stock Options Suit

    Statutory interpretation and congressional intent will play a pivotal role in a U.S. Supreme Court appeal over whether $13.3 million in stock options given to employees of a Canadian railroad company is taxable compensation, a case that will see the justices delve into what exactly constitutes “money remuneration.”

  • January 17, 2018

    Tax-Dodging Millionaire Tells 2nd Circ. $10M Fine Too Big

    Moneyman Morris Zukerman, currently incarcerated for decades of massive tax frauds, told the Second Circuit on Wednesday he deserves resentencing because he got no cogent explanation for why he was smacked with a $10 million fine that was “orders of magnitude” higher than anything his criminal peers ever got.

  • January 17, 2018

    ABA Tax Section Implores Congress To Adequately Fund IRS

    The chairwoman of the American Bar Association’s tax section on Tuesday urged Congress to provide adequate funding for the IRS, cautioning that in light of the Tax Cuts and Jobs Act, P.L. 115-97, the agency will face difficulties effectively administering and collecting tax revenues without additional funds.

  • January 17, 2018

    EU To Remove Panama, Others From Tax Haven 'Blacklist'

    The European Union announced Tuesday that it will remove eight jurisdictions, including Panama, from its list of alleged tax havens, prompting criticism from the European Parliament members tasked with investigating tax avoidance in the wake of the Panama Papers scandal.

  • January 17, 2018

    'Jersey Shore' Star, Brother To Plead Guilty In Tax Case

    “Jersey Shore” star Michael “The Situation” Sorrentino and his brother Marc Sorrentino have agreed to plead guilty in their criminal case over tax-related charges instead of going to trial next month, according to a government letter on Wednesday to a New Jersey federal judge.

  • January 17, 2018

    Top EU Court Says Co. Not Exempt From Dirty Money Laws

    The European Union’s highest court on Wednesday ruled against a Czech company's claim that it should not have been subject to a regulatory probe, saying the firm’s arguments were not consistent with the EU’s objective to prevent money laundering and terrorist financing in the financial sector.

  • January 17, 2018

    A Chat With Davis Wright CSO Mark Usellis

    In this monthly series, legal recruiting experts Amanda Brady and Amy Mallow of Major Lindsey & Africa interview law firm management from Am Law 200 firms about how they are navigating an increasingly competitive business environment. The second conversation is with Mark Usellis, chief strategy officer for Davis Wright Tremaine LLP.

  • January 16, 2018

    Trump Tax Reform Costs Citigroup $22B, Co. Says

    Citi said Tuesday that the new tax law could mean future growth for the company but that it's taking $22 billion in charges in the short term as a result of the reform, while other companies announced smaller but still substantial one-time hits, like GM's $7 billion write-down.

  • January 16, 2018

    E-Sales Just One Impetus In Top Court's Internet Tax Review

    A 25-year-old U.S. Supreme Court ruling barring states from collecting sales taxes from online retailers that are not physically present within their borders is under the justices' review again because of a confluence of factors, including inaction from Congress, the rise of e-commerce and the composition of the court.

Expert Analysis

  • Using Section 83(i) To Take Advantage Of New Tax Code

    Marc Fosse

    Last month the Tax Cuts and Jobs Act introduced a new section that provides for the deferral of taxation on certain qualified equity grants to employees of eligible corporations. Marc Fosse and Angel Garrett of Trucker Huss APC explain why qualified equity grants can be a helpful tax strategy for employees and an excellent recruiting, retention and incentive program for employers.

  • Will Tax Reform Affect Utility Rates?

    Bradley Seltzer

    While some have trumpeted massive refunds awaiting utility customers following the federal corporate tax rate reduction from 35 percent to 21 percent, there are statutory, judicial and regulatory considerations and guiding principles that limit the extent to which such savings can and should be shared with utility ratepayers, say Bradley Seltzer and Amish Shah of Eversheds Sutherland LLP.

  • Tax Reform Reshuffles The Deck For Outsourcing

    Gary Wilcox

    The new tax bill changes the calculus for cross-border services outsourcing and cloud agreements. For a U.S.-parented provider deciding whether to increase its U.S. operations relative to non-U.S. operations, several provisions must be considered, including the deduction for foreign-derived intangible income, the tax on global intangible low-taxed income and the base erosion and anti-abuse tax, say attorneys at Mayer Brown LLP.

  • Tax Overhaul Is A Mixed Blessing For The Finance Industry

    Michele Alexander

    The 40 percent reduction in the statutory corporate rate stands to yield major benefits for the finance sector. But other provisions in the Tax Cuts and Jobs Act, including international anti-abuse laws, may unintentionally burden banks, say Michele Alexander and Ryan Davis of Bracewell LLP.

  • America's Shifting Views On Marijuana Post-Cole Memo

    Jonathan Robbins

    Although Attorney General Jeff Sessions' rescission of the Cole memo does not change federal law, negative response to the rescission across the cannabis sector and political landscape was strong, swift and bipartisan, which may lead to congressional action in the future, say Jonathan Robbins and Joshua Mandell of Akerman LLP.

  • An Important International Provision In The Tax Act

    Charles Purcell

    The Tax Cut and Jobs Act made significant changes to the taxation of foreign income of U.S. persons, including the introduction of a new type of income. Attorneys with K&L Gates LLP look at how the new global intangible low-taxed income could affect investment funds.

  • How Tax Reform Will Change FCA Settlements

    Douglas Baruch

    Little attention has been paid to a provision of the new tax law that requires federal agencies to specify, at the time of settlement of government claims, the portion of the settlement that may be deductible as a business expense. This is sure to impact False Claims Act and other settlements involving the government going forward, say attorneys with Fried Frank Harris Shriver & Jacobson LLP.

  • The Public Finance Industry Dodged A Tax Reform Bullet

    Victoria Ozimek

    The passage of the tax bill brought an end to a nearly two-month rollercoaster ride that had the public finance industry white-knuckled and a little green in the face. The final bill belied initial assurances that tax reform “won’t touch tax-exempt bonds,” but the end result could have been a lot worse, say Victoria Ozimek and Brian Teaff of Bracewell LLP.

  • The Latest From IRS On Section 409A Relief

    Marc Fosse

    Taxpayers required to include the value of their 457A plan benefit in income before receiving a distribution may find they have an unexpected tax hit without a plan distribution to cover the tax liability. But a notice recently issued by the IRS allows for distribution of funds from 457A plans without incurring additional penalties under Section 409A of the Internal Revenue Code, say Marc Fosse and Yatindra Pandya of Trucker Huss APC.

  • 6 E-Discovery Predictions For 2018

    Erich Potter

    Erich Potter, discovery counsel with Oles Morrison Rinker & Baker LLP, discusses six ways e-discovery will continue to excite and confound in 2018.