Tax

  • February 9, 2018

    Interim Years Trivial In Partnership Audits, IRS Rep Says

    A representative from the IRS said Friday that the intervening period between a reviewed year, which is the year examined during an audit, and an adjustment year, which is when an audit is finalized, does not matter under the new centralized partnership audit regime.

  • February 9, 2018

    DOJ's No. 3 Checks Out For Walmart Gig

    The U.S. Department of Justice’s associate attorney general who was tasked with overseeing numerous divisions, including antitrust, civil, civil rights, environment and natural resources, and tax, will leave the department for Walmart after nine months on the job, the DOJ and the retail giant announced Friday.

  • February 9, 2018

    Uber, Lyft Can’t Bypass Local Taxes, SF Lawsuit Claims

    The city and county of San Francisco hit the state of California with a lawsuit Thursday, challenging a recently enacted law that allows ride-hailing services like Lyft and Uber to operate in cities without obtaining local licenses, causing the city to lose millions in associated taxes.

  • February 9, 2018

    Texas, Nev. AGs Defend Ariz. Law Opposing Israel Boycotters

    Attorneys general from Texas and Nevada on Friday filed an amicus brief in a lawsuit in Arizona federal court, offering their support for a law that bars state-funded contractors from boycotting Israel.

  • February 9, 2018

    Budget Bill Contains Energy Tax Credit Boon

    Energy tax credit extenders included in the two-year budget deal signed by President Donald Trump on Friday provide potential boosts for renewable energy development and potential lifelines for nuclear and carbon capture and storage projects.

  • February 9, 2018

    Facebook Docs Not Privileged, US Argues In Tax Dispute

    Documents withheld by Facebook Inc. in its transfer pricing dispute with the Internal Revenue Service are not protected by privilege because they pertain to business development and not trial preparation, U.S. Department of Justice attorneys said Thursday in California federal court ahead of a March 29 hearing on whether the company should produce the documents.

  • February 9, 2018

    India Signs 7 APAs, Including First Deal With US

    India’s tax authority has announced that last month it inked seven advance pricing agreements, which provide preemptive approval of multinational corporations' tax treatment of transactions with foreign subsidiaries, including the country’s first such deal with the U.S.

  • February 9, 2018

    Taxation With Representation: Wachtell, Weil, Latham

    In this week’s Taxation With Representation, NuStar Holdings merged with a subsidiary to create a $7.9 billion partnership, Kroger made a $2.15 billion convenience store sale to EG Group, Enduring Resources bought WPX Energy’s San Juan Basin oil holdings for $700 million, and Tronc sold the Los Angeles Times and other newspapers to Nant Capital for $500 million.

  • February 9, 2018

    Texas Oil Co. Sues IRS In $222M Fuel Credit Dispute

    An oil company sued the Internal Revenue Service in a Texas federal court Thursday, asking for a $222 million reduction in its income over the classification of alternative fuel credits.

  • February 9, 2018

    Trump Signs Spending Bill, Ending Overnight Shutdown

    President Donald Trump signed legislation Friday for a two-year budget deal and temporary spending measure, ending a brief government shutdown after Congress failed to pass the bill before midnight.

  • February 8, 2018

    States Again Turn To EITC To Help Low-Income Workers

    After several lean years in which no states created an earned income tax credit and North Carolina became the first state in 30 years to scrap its credit, the state EITC — designed to boost the impact of the federal earned income credit for low- and moderate-income working families — is thriving again.

  • February 8, 2018

    $3B Tax Trial Will Focus On Royalties, Coca-Cola Says

    Long-standing royalty agreements between Coca-Cola and six foreign subsidiaries will be the company's main focus at trial in its $3.3 billion transfer pricing dispute with the Internal Revenue Service, Coca-Cola said in a 161-page trial brief filed Wednesday at the U.S. Tax Court.

  • February 8, 2018

    Australia Floats Guidance For Diverted Profits Tax

    The Australian Taxation Office released a guidance draft Wednesday covering the steps multinational businesses can take if they suspect their arrangements with foreign affiliates might trigger the country’s controversial diverted profits tax, which is designed to prevent companies from shifting profits offshore.

  • February 8, 2018

    Tax Legislation Prompts IRS Updates To Guidance Plan

    The U.S. Department of the Treasury has identified a number of areas where it says guidance will be prioritized over the coming months in the wake of the recently enacted Republican tax cut legislation, according to a document released Wednesday.

  • February 8, 2018

    Whistleblower Can't Avoid Tax On FCA Award, NJ Court Says

    A New Jersey appellate court on Thursday affirmed that a whistleblower’s $1.2 million payout from his False Claims Act lawsuit over unlawful Medicare billing is subject to state income tax, clarifying in a published opinion that the award falls within the legal damages that constitute taxable income under state law.

  • February 8, 2018

    Tax Group Of The Year: Skadden

    Skadden Arps Slate Meagher & Flom LLP's global tax practice has provided advice on transactions to big-name companies such as NXP Semiconductors N.V. in its proposed $47 billion acquisition by San Diego-based Qualcomm Inc. and Hewlett Packard Enterprise in its $8.8 billion spin-off and merger of its software business with a foreign company, earning the firm a spot among Law360's 2017 Tax Practice Groups of the Year for the third year in a row.

  • February 8, 2018

    Budget Deal Would Renew Expired Tax ‘Extenders’

    Congress has passed a budget agreement that, along with keeping the government funded, would revive a set of expired targeted tax benefits for businesses and individuals, known as tax extenders.

  • February 8, 2018

    Greece Must Tax Fuel Headed For Non-EU Nations, Court Says

    The European Union’s top court on Thursday upheld a challenge to a Greek law that lets gas stations near bordering non-EU countries sell tax-exempt fuel, ruling that the excise duty applies even if the drivers are heading directly out of Europe.

  • February 8, 2018

    Hochman Salkin Atty Nominated For IRS Commissioner Role

    Charles Rettig, a seasoned California litigator with Hochman Salkin Rettig Toscher & Perez PC, has been nominated to head the Internal Revenue Service for five years, the White House announced on Thursday.

  • February 8, 2018

    Senior EU Lawmakers Vote To Set Up Paradise Papers Probe

    European Union lawmakers voted Thursday to form a new inquiry committee to tackle money laundering and tax evasion practices exposed in the Paradise Paper leaks, taking up the mantle from three previous parliamentary investigations.

Expert Analysis

  • A Look At Air Rights In Boston, San Francisco And New York

    Lawrence DiCara

    Though allowing the transfer of unused development rights carries some disadvantages, it has encouraged developers to utilize air rights and improve upon some of America's largest cities, say attorneys with Nixon Peabody LLP and Katherine Soule of the Northeastern University School of Law.

  • New Partnership Audit Rules Affect Many Family Partnerships

    Helen Rogers

    Until recently, if a partnership were audited and the IRS determined that the partnership had underreported its income, the IRS would collect the unpaid income tax from the individual partners. As of Jan. 1, 2018, those rules have changed, says Helen Rogers of Holland & Hart LLP.

  • How To Serve Your Blind Client Effectively

    Julia Satti Cosentino

    While a client’s visual impairment can create challenges for an attorney, it also can open up an opportunity for both attorney and client to learn from each other. By taking steps to better assist clients who are blind or visually impaired, attorneys can become more perceptive and effective advisers overall, say Julia Satti Cosentino and Nicholas Stabile of Nutter McClennen & Fish LLP.

  • DOJ Limitation On Agency Guidance Levels Playing Field

    Ronald Tenpas

    A new memo from the U.S. Department of Justice prohibiting DOJ litigators from treating any agency guidance document as binding offers needed relief to regulated parties, giving them a greater opportunity to push back against enforcement theories that rely on “clear” guidance regarding an underlying ambiguous or silent statute, say Ronald Tenpas and Gregory Etzel of Morgan Lewis & Bockius LLP.

  • What To Expect After Trump's State Of The Union Address

    Jeffrey Turner

    As President Donald Trump emphasized in his recent State of the Union speech, the U.S. economy appears to be strong. Unfortunately, as the Democratic response confirmed, the state of affairs on Capitol Hill is anything but. Jeffrey Turner and David Schnittger of Squire Patton Boggs LLP outline what Congress must do in the next month or so.

  • About My Paycheck: The Lurking Retaliation Risk

    Mark Stanisz

    Three unrelated developments make it more likely that employees will question their pay with greater frequency than in the past. Employers should prepare to answer paycheck questions, understanding that these conversations could give rise to Fair Labor Standards Act and state wage and hour retaliation claims, says Mark Stanisz of Duane Morris LLP.

  • How Notice 2018-13 Frames Foreign Earnings Transition Tax

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    On Jan. 19, the U.S. Department of the Treasury and the IRS issued Notice 2018-13, elaborating on previous guidance about the Tax Cuts and Jobs Act’s new deemed repatriation provision. The notice also describes the agencies' intent to issue updated Form 5471 instructions, which will introduce an important — and much needed — limitation to filing requirements following the repeal of Section 958(b)(4), say attorneys at Morgan Lewis & Bockius LLP.

  • Opinion

    Evolving Due Process In The Digital Age

    Stephen Kane

    Because courts have not modernized as quickly as companies like Amazon, Tesla and Apple, Americans are becoming increasingly dissatisfied, but technological innovations may be able to help Americans access their due process, says Stephen Kane of FairClaims.

  • Under New Tax Law, Time Is Running Out For Ponzi Victims

    Kevin Diamond

    Counsel representing victims of Ponzi schemes should note that the Tax Cuts and Jobs Act eliminates the theft tax loss provisions of the Internal Revenue Code for tax years after 2017. The time to act is now, before this important tax benefit goes away, says Kevin Diamond of Rico Murphy & Diamond LLP.

  • The New Limited Interest Deduction: Good For Business?

    Jennifer Tolsky

    The Tax Cuts and Jobs Act purports to lower taxes and simplify the Internal Revenue Code, but the new limitation on the deductibility of business interest seems contrary to this objective. This change will certainly cause many businesses to pause and consider whether debt financing is the best option for them, says Jennifer Tolsky of Gould & Ratner LLP.