• September 19, 2017

    'Corporate Integration' Plan May Be Part Of Tax Reform Talks

    The top-secret tax reform meetings between congressional leaders and administration officials may include proposals to integrate corporate and individual income tax laws to prevent double taxation of corporate income — an idea corporations may be ambivalent about, even if it reduces their tax burden, as it could create pressure to make more shareholder distributions.

  • September 19, 2017

    Ill. Fights To Keep Citibank From Seeking $1.6M Tax Refund

    In a last-ditch effort Tuesday, the Illinois Department of Revenue argued to the state’s Supreme Court that credit card companies should not be eligible to seek tax refunds under Illinois law, something lenders like Citibank dispute in the bank’s quest to get a $1.6 million refund from the state.

  • September 19, 2017

    PR Firm's Ex-CFO Charged With Embezzling $3.6M

    The former chief financial officer of an international marketing and public relations firm was charged Tuesday with embezzling $3.6 million from the company during his 10-year tenure, the U.S. Department of Justice said in a statement.

  • September 19, 2017

    Trump Administration Backs 'Last Chance' ACA Repeal Bill

    The White House started a public push for the latest Affordable Care Act repeal bill Tuesday as the Senate dropped bipartisan reform efforts.

  • September 19, 2017

    IRS Pushes For More Docs In Recyclers' $22M Tax Fight

    The IRS asked a Missouri federal court Monday not to narrow the discovery window in a suit lodged by private equity-backed recycling companies over a $22 million tax liability, arguing that the court must look beyond the year the taxes were assessed in.

  • September 19, 2017

    Inversions To Cost US $12B By 2027, CBO Says

    The continued use of corporate inversions and profit shifting by multinational companies will result in a 2.5 percent decrease in U.S. corporate tax receipts by 2027, the Congressional Budget Office said Monday.

  • September 19, 2017

    Territorial Tax Proposal Leaves Many Open Questions

    Most tax practitioners and congressional leaders predict tax reform will shift toward a territorial system in which companies are taxed only on their U.S. source income, but the specifics — and their impact on multinational companies — remain a huge area of uncertainty.

  • September 19, 2017

    Ex-CEO Can't Claim $40M Loss Deduction, Tax Court Says

    The U.S. Tax Court on Monday upheld the IRS’s decision to deny a nearly $40 million deduction that a former investment firm CEO had sought based on losses from foreign currency trades, finding that the losses had been artificially generated “by gaming the tax code.”

  • September 18, 2017

    EU To Consider New Tax Rules For Digital Economy

    Businesses with digital operations in the European Union could soon be liable for taxes they don't currently pay as the EU considers new rules for the virtual economy.

  • September 18, 2017

    Fewer Resources Lead To Fewer IRS Investigations: Report

    Criminal investigations by the IRS reached their lowest levels over the past five years last year because of a reduction in IRS resources, according to a report by the Treasury Inspector General for Tax Administration.

  • September 18, 2017

    SEC Settles With Biofuel Schemers, Persists Against Ex-CEO

    The U.S. Securities and Exchange Commission asked an Indiana federal court Monday to approve settlements with two men who pled guilty to a biofuel investment scam, while seeking a judgment against a gas producer's ex-CEO who was convicted over his role in the scheme.

  • September 18, 2017

    8th Circ. Urged To Reverse $75M Union Pacific Tax Refund

    The IRS on Friday urged the full Eighth Circuit to rethink a panel decision awarding Union Pacific a $75 million tax refund, saying the appellate panel misconstrued what qualifies as deductible employee compensation.

  • September 18, 2017

    Nigerian Resident Indicted In NJ For $10.2M Tax Fraud Scheme

    A resident of Nigeria was indicted Monday on federal charges that he and others filed fraudulent tax returns in hopes of defrauding the U.S. Treasury out of more than $10 million, and, in a separate scheme, possessed counterfeit credit cards, acting U.S. Attorney for the District of New Jersey William E. Fitzpatrick announced.

  • September 18, 2017

    US Still Fighting Boeing Subsidy Ruling At WTO

    Despite scoring a near-total win in the European Union’s World Trade Organization challenge of subsidies and tax breaks given to aircraft titan Boeing, the U.S. government has nevertheless lodged an appeal looking to undo adverse portions of the decision, according to WTO documents circulated Monday.

  • September 18, 2017

    Wells Fargo Can't Deduct Tax In Sham Barclays Transaction

    A last-minute bid by Wells Fargo & Co. to deduct $150 million in foreign taxes was blocked by a Minnesota federal judge Friday, who found the complex transaction that generated the tax was a sham and the bank’s request for relief came too late.

  • September 18, 2017

    GOP Health Care Push Puts Short-Term Fix In Peril, Dems Say

    Senate Democrats threatened Monday that the latest GOP-only push for long-term repeal and replace of the Affordable Care Act could torch bipartisan efforts to stabilize health care markets in the short term.

  • September 18, 2017

    US Trade Rep Slams China's 'Mercantilist' Onslaught

    U.S. Trade Representative Robert Lighthizer said Monday that confronting China’s “mercantilist” policies remains a top priority for the Trump administration, along with focusing on bilateral deals and ensuring that American companies can compete without running up against unfair barriers or undue advantages for their peers.

  • September 18, 2017

    SD Can Tax Nontribal Members In Store, But Not Casino

    A South Dakota federal judge ruled on Friday that the state can’t impose a use tax on money nontribal members spend at the Flandreau Santee Sioux Tribe’s casino on gaming, food and other services, but said the same tax can be imposed on nonmember purchases at a store on the tribe's reservation.

  • September 15, 2017

    IRS Proposes New Rules Affecting Registered Obligations

    The Internal Revenue Service on Friday proposed new rules amending the definition of obligations requiring registration and attempting to clarify the types of arrangements that qualify as pass-through certificates.

  • September 15, 2017

    IRS Updates Template For Advance Pricing Agreements

    The Internal Revenue Service is floating a proposed update to its existing template for advance pricing agreements, John Hughes, director of the IRS Advance Pricing and Mutual Agreement Program, said Friday.

Expert Analysis

  • Avrahami Ruling On Microcaptives Offers Little Guidance

    Steven Miller

    The captive insurance industry has had little guidance from courts, the U.S. Treasury Department or the U.S. Internal Revenue Service on what an acceptable arrangement looks like. Many had hoped that the U.S. Tax Court's ruling in Avrahami v. Commissioner would provide such guidance. But the decision last month left too many questions unanswered, says Steven Miller of Alliantgroup LP.

  • A Guide To The Executive Branch Official Nomination Process

    Adam Raviv

    Although the Trump administration has completed the vetting and confirmation of a cabinet and White House staff, thousands of senior positions remain unfilled throughout the executive branch. More than ever, people selected for those posts find themselves under close scrutiny, say Adam Raviv and Reginald Brown of WilmerHale.

  • An IRS Lifeline To Public Utilities On Normalization

    Jeffrey Davis

    Last week, the Internal Revenue Service provided a safe harbor for public utilities that inadvertently break the so-called normalization rules, which are used to reconcile tax treatment of investment tax credits, or accelerated depreciation of assets, with their regulatory treatment. This is undoubtedly good news for public utilities, say attorneys with Mayer Brown LLP.

  • DOL's Fiduciary Rule: Death By A Thousand Cuts?

    Andrew Oringer

    Every now and then one wakes up with a thought along the lines of, "How the heck did we get to where we are?" Such a thought may easily be brought to mind by the present state of play regarding the U.S. Department of Labor's new fiduciary regulation, says Andrew Oringer of Dechert LLP.

  • How Collaboration Is Changing Inside Some Law Firms

    Chris Cartrett

    In our recent survey of business of law professionals, nearly half of respondents said that who they collaborate with, inside their law firm, is different from five years ago, says Chris Cartrett of legal software provider Aderant.

  • Blazing A Trail For More Local Taxes By Ballot Initiative

    Eric Coffill

    The California Supreme Court recently held that local taxes imposed via initiative are subject to less stringent requirements than taxes imposed by local governments. But in granting great deference to California's initiative process, the court gave too little regard to Proposition 218, requiring local taxes be approved by a majority of voters, say Eric Coffill and Robert Merten III of Eversheds Sutherland LLP.

  • Opinion

    Dealing With Difficult Lawyers

    Alan Hoffman

    Some lawyers tend to be overly aggressive, regarding law practice as a zero-sum game in which there are only winners and losers. The best response is to act professionally — separating the matter at hand from the personalities. But it is also important to show resolve and not be vulnerable to intimidation, says Alan Hoffman of Husch Blackwell LLP.

  • Wind Power: A Strong Market But An Uncertain Future

    John Crossley

    The U.S. Department of Energy's recently published 2016 Wind Technologies Market Report showed strong growth for wind power due to low power purchase prices, decreased technology costs and improved performance. But the expiration of the production tax credit and low natural gas prices make long-term growth uncertain, say John Crossley and Brynna Krough-Deaton of Husch Blackwell LLP.

  • Calif. High Court Tax Decision Could Be A Pyrrhic Victory

    Bryan Wenter

    The California Supreme Court's decision in California Cannabis Coalition v. City of Upland may make local efforts to raise taxes much easier. However, the court itself inadvertently recognized the potential temporary nature of this victory, acknowledging that voters have the power to restrict the electorate's initiative power, says Bryan Wenter of Miller Starr Regalia.

  • Congressional Forecast: September

    Richard Hertling

    With apologies to T.S. Eliot, September is looking to be the cruelest month. This work period will be a critical test for the president and Republican majority in Congress, as members return to face a daunting workload of time-sensitive legislation and only three weeks to get it all done, say Richard Hertling and Kaitlyn McClure of Covington & Burling LLP.