Tax

  • April 21, 2017

    Chevron On Hook For $255M Tax Bill In Australia

    Chevron Corp.’s Australian unit faces a tax bill of more than $255 million after an appellate court unanimously ruled on Friday that an intracompany loan arrangement to finance a gas project was not how independent parties would structure such a transaction.

  • April 21, 2017

    Taxation With Representation: Skadden, Cravath, Simpson

    In this week’s Taxation With Representation, Skadden guides a $6.1 billion deal in the health industry, Cravath heads two transactions each worth $600 million or more, and Simpson Thacher helps PetSmart purchase online pet food retailer Chewy.

  • April 21, 2017

    Sale Of Fractional Aircraft Shares Not Taxable, NY Says

    New York’s Department of Taxation and Finance Friday issued an advisory opinion saying that the sale or lease of a fractional share of an aircraft constitutes the sale of a nontaxable service, exempt from local sales and use tax, if the sale was made after Sept. 1, 2015.

  • April 21, 2017

    IRS Issues Biz Property Depreciation Deductions Guidance

    The Internal Revenue Service issued new guidance Thursday outlining how taxpayers can take advantage of some new income tax deductions based on property's wear and tear over time, via depreciation, in line with the Protecting Americans from Tax Hikes Act of 2015.

  • April 21, 2017

    Majority Of Voters Support Border-Adjusted Tax, Poll Says

    A new poll out Thursday shows that more than 60 percent of voters support a border-adjusted tax of 20 percent on all imports, which has frequently been floated as part of a broader tax reform plan.

  • April 21, 2017

    Industry, Climate Groups Push For Carbon Capture Funding

    A coalition of coal industry, labor and climate change groups urged President Donald Trump and congressional leaders Thursday to make carbon capture and sequestration projects part of any broad infrastructure legislative package, as well as to extend federal tax credits for such projects.

  • April 21, 2017

    Revised 10th Circ. Ruling Affirms IRS Denial of Tax Review

    A Tenth Circuit appellate panel upheld the Internal Revenue Service’s decision barring a company from challenging a $57,782 tax penalty at a collection due process hearing, because the company had the opportunity to challenge the penalty in an administrative hearing, confirming its February ruling in a revised decision Thursday.

  • April 21, 2017

    2016 Tax Regs In Peril As Trump To Issue Tax Plan Wednesday

    The White House intends to release its plan to overhaul federal tax laws this coming Wednesday, while the U.S. Department of the Treasury begins reviewing tax regulations issued in 2016 to either repeal or modify them under a presidential executive order signed Friday.

  • April 20, 2017

    Mnuchin Must Bend To Both Trump, Congress On Tax Plan

    The White House faces an uphill task in convincing congressional leaders with differing priorities to back its vision for tax reform, but Treasury Secretary Steven Mnuchin’s vow to not provide absolute tax cuts for the upper class could also end up clashing with President Donald Trump’s own goals.

  • April 20, 2017

    UK Losing Nearly $2B In Uncollected Taxes On Online Sales

    The U.K. is losing out on as much as £1.5 billion ($1.92) from overseas retailers failing to charge value-added tax on online sales to British consumers, according to a report released on Wednesday by the U.K.’s National Audit Office.

  • April 20, 2017

    ACA Watch: Trump Says Repeal Bill Has 'Good Chance'

    The seemingly unkillable bill to repeal and replace the Affordable Care Act rose up once again Thursday, with Republicans releasing more tweaks and President Donald Trump insisting that the legislation has “a good chance” of quickly attracting more support.

  • April 20, 2017

    Mich. Appeals Court Tosses Set-Aside Of Tax Foreclosure

    A Michigan appellate court has overturned a lower court and validated a tax foreclosure on the estate of a man whose family failed to show up to the foreclosure hearing after not properly claiming a primary residence exemption, rejecting a due process argument.

  • April 20, 2017

    Trump's Pick For No. 2 Commerce Position Bows Out

    President Donald Trump’s pick for the No. 2 spot at the Department of Commerce, Todd Ricketts, has withdrawn his nomination for the position, according to a Wednesday report from the Chicago Sun-Times.

  • April 20, 2017

    Judge Won't Delay Prevezon Trial Over Russia-Bashing Press

    A New York federal judge will not delay next month's trial in a dispute over proceeds of a $230 million Russian tax fraud that were allegedly laundered using Manhattan real estate, rejecting arguments that media statements by government witness Bill Browder would bias the jury.

  • April 20, 2017

    Unenrolled Preparers Can't Be Representatives In Tax Court

    The IRS has issued guidance for agency attorneys about how to interact with unenrolled tax return preparers in U.S. Tax Court cases, noting that although unenrolled preparers can’t represent taxpayers in an official capacity, staff counsel can still work with them to develop the facts of a case.

  • April 20, 2017

    Mayer Brown Nabs Ex-Morgan Lewis Tax Pro

    A former Morgan Lewis & Bockius LLP partner who helped a utility company score a victory against the Internal Revenue Service regarding the taxpayer’s treatment of $4 billion of intercompany debt has joined Mayer Brown LLP as a partner in its Washington, D.C., office, the firm announced on Wednesday.

  • April 19, 2017

    Estate's Stock Swap Delay Saw No Capital Gains, Judge Says

    The estate of the CEO of the company known for its employment website monster.com escaped a $41 million tax deficiency notice on Wednesday when the U.S. Tax Court ruled that contract extensions for exchanging stocks with two investment banks did not result in capital gains.

  • April 19, 2017

    Australian Court Nixes Claim $2M Deposit Was Not Income

    An Australian judge Wednesday rejected claims by a real estate developer’s wife that $2 million deposited into her bank account was not income, as the government’s taxing authority claimed, but rather an equity investment she was holding for her husband's company.

  • April 19, 2017

    Starr Wants 'Quick Peek' Review Of Docs In $38M Tax Row

    Swiss insurer Starr International Co. Inc. is seeking “quick peek discovery" in multimillion-dollar tax litigation against the U.S. after the government attached an internal IRS email to a legal filing, telling a D.C. federal judge the U.S. Department of Justice shouldn't be allowed to “cherry pick” documents to support its defense.

  • April 19, 2017

    W.Va. Takes Use Tax Credit Fight With CSX To High Court

    The state of West Virginia has petitioned the U.S. Supreme Court to review a lower court’s decision granting use tax credits to CSX Transportation Inc. for sales taxes paid in other localities, saying the denial of these credits does not unduly burden interstate commerce.

Expert Analysis

  • Monthly Column

    Gray Matters: The Attorney-Client Team

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    A 1979 study of attorney-client interactions revealed startling information: Despite years of education and training to hone their legal expertise, attorneys were not acting as independent counselors but rather allowing their clients to control them. Our experience is that this trend has accelerated, say dispute resolution experts Robert Creo and Selina Shultz.

  • Litigation Finance, Big Data And The Limits Of AI

    Christopher Bogart

    Theoretically, both better data and its better use should be able to improve results in litigation, and thus help litigation financiers allocate more capital to meritorious matters. However, while big data and artificial intelligence are intriguing additions to the litigation toolkit, they are far from turning litigation finance on its head, says Christopher Bogart, CEO of Burford Capital LLC.

  • Series

    Counsel To Counsel: Mama Said There'll Be Days Like This

    Peter J. Engstrom

    It's no longer enough for law firms simply to provide expert legal advice — we are expected to mirror clients' legal, ethics and social commitments and promises. For law firm GCs, the resulting job demands seem to grow exponentially, says Peter Engstrom, general counsel of Baker McKenzie.

  • Roundup

    3 Tax Reform Perspectives

    Tax Reform Perspectives

    In this recent series on federal tax reform, practitioners explore current proposals and initiatives, and reflect on how past efforts to change the system may provide lessons — and warnings — for today's would-be tax reformers.

  • Disarming Puerto Rico’s Pension Time Bomb

    Richard Cooper

    Puerto Rico faces difficult choices regarding how to address the substantial cost and massive underfunding of its public pension sy­stems. Title III is likely the best option available to the commonwealth to adjust its public pension obligations as part of the larger effort to address its current fiscal crisis, say attorneys with Cleary Gottlieb Steen & Hamilton LLP.

  • Series

    Counsel To Counsel: A Law Firm GC's Data Protection Duties

    Thomas W. White

    Increasingly, we see companies in all industries seeking to perform various levels of due diligence on our information security defenses. We received three times as many diligence requests from clients and prospective clients in 2016 as we did in 2015. Some clients even conduct their own penetration tests, says Thomas White, general counsel of WilmerHale.

  • British Virgin Islands Aligns With Global Standards

    Rachael McDonald

    The British Virgin Islands, like other offshore financial centers, has struggled against public perception that it is a treasure island for corrupt politicians and fraudsters. But global monitors now rank the BVI alongside the U.K. and the U.S. in compliance with international standards, and more constructive changes are on the way, say Rachael McDonald and Sarah Galletly of Mourant Ozannes.

  • SEC Provides Offshore Feeder Relief, But Challenges Remain

    Mark C. Amorosi

    The U.S. Securities and Exchange Commission's recently granted no-action relief is an incremental step in reducing barriers to global distribution of U.S. registered funds and may marginally increase the use of cross-border master-feeder arrangements, say attorneys with K&L Gates LLP.

  • Series

    Counsel To Counsel: Evaluating Positional Conflicts

    Nicholas A. Gravante Jr.

    What happens when attorneys come to their general counsel’s office with knowledge of a potential positional conflict? While the inquiry will depend on the rules governing the particular jurisdiction, there are a few general questions to consider from both business and legal ethics perspectives, say general counsel Nicholas A. Gravante Jr. and deputy general counsel Ilana R. Miller of Boies Schiller Flexner LLP.

  • Delaware Re-Ups Dubious Unclaimed Property Audit Rules

    Mary Jane Wilson-Bilik

    In last year's Temple-Inland v. Cook decision, a federal court held that Delaware violated a taxpayer’s due process rights with an excessive unclaimed property assessment. The Delaware Legislature later revised its unclaimed property statute. But the state's Department of Finance has now proposed audit rules that are virtually identical to those condemned by the court, say attorneys from Eversheds Sutherland (US) LLP.