Federal

  • February 02, 2023

    Brothers Plead Not Guilty To Energy Contract Kickbacks

    Two Massachusetts brothers accused of paying kickbacks to get millions of dollars' worth of state-subsidized energy efficiency contracts pled not guilty on Thursday to a second batch of federal charges.

  • February 02, 2023

    Judge Tosses IRS Notice Requiring Easement Disclosure

    An Alabama federal judge on Thursday set aside a 2016 Internal Revenue Service notice requiring the disclosure of certain conservation easement transactions, handing a win to a land donation advisory firm that sought relief from the notice.

  • February 02, 2023

    Law Firm Says Md. Shields It From $1.5M Client Levy

    A Baltimore law firm that lost $1.5 million to an Internal Revenue Service levy triggered by a client's tax history asked a Maryland federal court to refund it, saying the government is flouting a state law tradition protecting third parties from corporate liability.

  • February 02, 2023

    Kirkland Adds Tax Disputes Partner From Skadden

    Kirkland & Ellis LLP added a former Skadden tax partner and onetime U.S. Supreme Court clerk to the firm's Washington, D.C., office as a tax partner, the firm announced.

  • February 02, 2023

    Three Republicans Join Senate Finance Committee

    Republican U.S. Sens. Marsha Blackburn of Tennessee, Ron Johnson of Wisconsin and Thom Tillis of North Carolina have joined the Senate Finance Committee as new members, the panel's top-ranking Republican announced.

  • February 02, 2023

    9th Circ. Affirms Deficiency In $3M Tax Court Case

    The U.S. Tax Court did no wrong in supporting Internal Revenue Service deficiency calculations against a California couple found to owe nearly $3 million in taxes, the Ninth Circuit said Thursday.

  • February 02, 2023

    Intuit Says User Agreement Bars TurboTax Privacy Suit

    A TurboTax user's proposed class action accusing the company of illegally sharing watch histories with Facebook should instead go to arbitration because the user signed a subscription agreement forgoing her right to sue, parent company Intuit told an Illinois federal court.

  • February 01, 2023

    Choctaw Citizens Can't Escape Okla. Income Tax, Judge Says

    A federal judge said two Choctaw Nation citizens cannot recover thousands of dollars in state income tax simply because they live in Indian Country, slamming the door on a lawsuit that threatened to upend an entire system of civil regulation in Oklahoma.

  • February 01, 2023

    FTC Denies Agency Bid For Win Without Trial In TurboTax Row

    The Federal Trade Commission rejected a bid from its staff attorneys seeking a win without trial in their administrative case alleging TurboTax owner Intuit Inc. duped consumers into thinking they could file their taxes free of charge, saying the case would benefit from a full factual record.

  • February 01, 2023

    House Bill Seeks To Raise SALT Deduction Limits

    A bill introduced in the U.S. House of Representatives would raise the federal limit for deducting state and local taxes.

  • February 01, 2023

    Ex-CFO Cops To Failing To Pay $3.6M In Employment Taxes

    A former chief financial officer of a not-for-profit mental health organization pled guilty to bank fraud and to failing to remit around $3.6 million in employment taxes to the Internal Revenue Service, federal prosecutors in Oklahoma said.

  • February 01, 2023

    Retired Businessman Wants $2.4M FBAR Case Dropped

    A retired businessman who the IRS says failed to report income held in Barbados asked a Georgia federal court to dismiss a government lawsuit seeking $2.4 million in penalties, contending the agency didn't properly notify him of his liability and missed its deadline to bill him.

  • February 01, 2023

    Dykema Promotes 10 Attorneys To Member In 7 Offices

    National law firm Dykema promoted 10 attorneys to member in its offices in Texas, Michigan and Illinois, ranging in practice from real estate to tax to litigation and environmental, the firm recently announced.

  • January 31, 2023

    Black Americans Face Much Greater Audit Rates, Study Finds

    Black taxpayers are audited at a much higher rate than others due to Internal Revenue Service policies, according to a study published by the Stanford Institute for Economic Policy Research.

  • January 31, 2023

    Getty Images Wants Foreign Tax Credit Exceptions Clarified

    The U.S. Treasury Department should clarify that an exception outlined in proposed foreign tax credit regulations applies to withholding taxes on royalty payments for intangible property licensing based on where the taxes were levied, an attorney representing media company Getty Images said in a letter to the department.

  • January 31, 2023

    Petroleum Refiner Believes $48M Tax Suit Still Live, Court Told

    A petroleum refiner doesn't believe the entirety of its suit seeking a $47.6 million refund for fuel mixture tax credits is dead after the Fifth Circuit sided with the government in a similar suit, according to a filing Tuesday in Texas federal court.

  • January 31, 2023

    IRS Can Release Tax Return Info In Lawsuits, Court Says

    The Internal Revenue Code gives the IRS the right to release tax information that is part of a legal proceeding on tax administration, a D.C. federal court said in explaining why it dismissed an expatriate attorney's challenge to disclosure of his returns.

  • January 31, 2023

    Cos. Urge Broad Qualifications For Chipmaking Tax Credit

    Two technology companies asked the U.S. Department of the Treasury for clarification on a new 25% tax credit for semiconductor manufacturers and suggested the department take a wide view when deciding which companies qualify to receive it.

  • January 31, 2023

    Former Eversheds Sutherland Counsel Returns As Partner

    A former Eversheds Sutherland tax practice group counsel with extensive experience advising businesses on the state and local tax implications of their transactions will rejoin the group as a partner, the firm said Tuesday.

  • January 31, 2023

    Fla. Consultant Owes $1.2M In FBAR Penalties, US Says

    A dual U.S.-Saudi citizen and consultant should pay $1.2 million in foreign bank account reporting penalties for failing to disclose his Swiss bank account on time for 2010 through 2012, the U.S. government told a Florida federal court.

  • January 31, 2023

    Chamber, ACLU Urge Justices To Limit IRS Summons Power

    The Internal Revenue Service infringed on the civil rights of taxpayers by expanding its summons power to obtain taxpayer records from third parties without warning, groups including the U.S. Chamber of Commerce and American Civil Liberties Union said in amicus briefs filed at the U.S. Supreme Court.

  • January 31, 2023

    NY AG Wants Trump And Attys Sanctioned In $250M Suit

    New York Attorney General Letitia James told a state judge Tuesday that former President Donald Trump, the Trump Organization and its officers are attempting to "deny facts" they have previously admitted to in their responses to her $250 million fraud suit, asking the court to sanction the defendants and their counsel.

  • January 31, 2023

    BankUnited Says It's Owed $39.8M Tax Refund On Acquisition

    BankUnited told a Florida federal court it is owed a $39.8 million tax refund stemming from its acquisition of a failed bank, arguing it can deduct $1.1 billion for its involvement in the transaction.

  • January 31, 2023

    Ex-Tech CEO Gets Almost 3 Years For Tax Evasion

    A former Florida tech CEO who pled guilty to tax evasion and causing a $600,000 tax loss was sentenced to almost three years in prison, just shy of federal prosecutors' demand for a full sentence, the U.S. Department of Justice said Tuesday.

  • January 31, 2023

    IRS Seeks Comments On Accounting Period Change Form

    The Internal Revenue Service asked Tuesday for comments on a form that must be submitted to apply for certain annual accounting period changes.

Featured Stories

  • Interest Expense Deduction Cap May Sting More This Year

    Natalie Olivo

    U.S. companies grappling with rising interest rates may face related tax complications under a measure that restricts deductions for interest paid on borrowed funds, in part because of a tightened cap that remained intact under Congress' recent spending bill.

  • New GOP House Rules Would Make Raising Taxes Harder

    Stephen K. Cooper

    New rules from House Republicans that govern floor debate on tax bills, such as restricting measures that raise income tax rates or requiring more specific cost estimates, reflect new GOP priorities intended to clamp down on spending hikes, tax increases and IRS audits.

  • Any US Plans For Global Minimum Tax On Ice, For Now

    Natalie Olivo

    Legislative opportunities for the U.S. to conform with new international minimum tax rules aren't likely to emerge for a few years, when the expiration of domestic tax cuts may coincide with the foreign taxation of U.S. multinationals under the global regime.

Expert Analysis

  • Stock Buyback Excise Tax Guidance A Mixed Bag For SPACs

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    Recent IRS guidance on the new stock repurchase excise tax includes a welcome exception for publicly traded special-purpose acquisition companies but does not exclude redemptions in connection with a de-SPAC transaction, and further guidance is needed to clarify ambiguities around the exception's application, say Olga Bogush and Evgeny Magidenko at ArentFox Schiff.

  • Crypto Coverage After FTX Fall: Accountant And Atty Liability

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    The recent fall of cryptocurrency firm FTX highlights complexities regarding accounting and tax reporting for digital assets, and reveals lawyers’ potential liability exposure when providing services to crypto firms — as a result, insurers may face unintended vulnerabilities related to this nebulous landscape, say Anjali Das and Farzana Ahmed at Wilson Elser.

  • The Forces Defining Sales Tax Policy And Compliance In 2023

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    In the coming year, expect to see tax policymakers grapple with the complexity of state and local tax compliance, cryptocurrency, metaverse transactions, and more, says Scott Peterson at Avalara.

  • Inflation Reduction Act's Methane Tax May Be Unenforceable

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    Recent legislation directs the U.S. Environmental Protection Agency to impose a first-ever direct charge on methane emissions from oil and gas operations — but two fundamental problems with the formula for calculating this tax could make it impossible for the EPA to implement, say Poe Leggette and Bailey Bridges at BakerHostetler.

  • Atty-Client Privilege Arguments Give Justices A Moving Target

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    Recent oral arguments before the U.S. Supreme Court in a case regarding the scope of the attorney-client privilege appeared to raise more questions about multipurpose counsel communications than they answered, as the parties presented shifting iterations of a predictable, easily applied test for evaluating the communications' purpose, say Trey Bourn and Thomas DiStanislao at Butler Snow.

  • Industry Takeaways From IRS Guidance On EV Tax Credits

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    The IRS and U.S. Department of the Treasury’s recently issued documents on tax credit eligibility for clean vehicle purchases showcases three important points for the electric vehicle industry, including emphasis on the importance of in-service dates, guidance on how leased vehicles could be evaluated, and insight into manufacturing requirements, says Levi McAllister at Morgan Lewis.

  • States Must Align Distribution Age Rules With Secure 2.0

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    To prevent unintended escheatment of retirement benefits, states will need to undertake legislative efforts to amend unclaimed property standards that conflict with the Secure 2.0 Act's required minimum distribution age increases, says Michael Giovannini at Alston & Bird.

  • The IRS' APA Rulemaking Journey: There And Back Again

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    Attorneys at Dentons examine recent challenges in which taxpayers successfully argued Internal Revenue Service rulemaking was invalid under the Administrative Procedure Act, how tax exceptionalism and U.S. Supreme Court regulatory deference prompted such challenges, and similar challenges the agency will likely face following this line of cases.

  • Tax Court Ruling Should Allay Post-Boechler Concerns

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    An unusually long U.S. Tax Court ruling in Hallmark Research Collective v. Commissioner, confirming that deficiency deadlines are jurisdictional, should reassure practitioners concerned about the statutory time limit implications of last year's U.S. Supreme Court Boechler v. Commissioner ruling and reaffirm the vital role of the Tax Court itself, says James Creech at Baker Tilly.

  • Unpacking The Interim Guidance On New Stock Buyback Tax

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    The U.S. Department of the Treasury and Internal Revenue Service's recent notice on applying the newly effective excise tax on stock repurchases provides much-needed clarity on the tax's scope, which is much broader than anticipated given its underlying policy rationale, say attorneys at Eversheds Sutherland.

  • The Cryptocurrency Law And Policy Outlook For 2023

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    The digital asset sector saw significant losses in 2022, amid a continuing lack of guidance about how such assets should be taxed, but new government regulation, growing participation by traditional financial players and other factors should spur recovery in the coming year, says Joshua Smeltzer at Gray Reed.

  • IRS Will Use New Resources To Increase Scrutiny In 2023

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    The new year promises to be a busy one for the Internal Revenue Service, which is poised to apply the boost in funding provided by the Inflation Reduction Act to bolster and expand its enforcement capability, and there are four areas to watch, say attorneys at Skadden.

  • How Cos. Can Prep For Alcohol Beverage Excise Tax Changes

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    The Craft Beverage Modernization Act will soon undergo a transition in administration to the Alcohol and Tobacco Tax and Trade Bureau, and importers or producers should address any issues that may arise under the act, such as foreign producers not being familiar with the mechanics of the TTB, say Louis Terminello and Bradley Berkman at Greenspoon Marder.