Upcoming National Meeting

2024 SALT Workshop for Technology Companies

This Workshop will cover the key state and local tax issues that technology companies (both start-up and established) are facing such as state taxation of Digital Business Inputs, FITFA, sourcing, apportionment, streaming, marketplace facilitators, digital service taxes and much more. Leading state tax experts will share technical expertise and knowledge they have gained from practicing in these

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Newsletters & Media

Cost Conscious

ISSUE 24-14; July 12, 2024

Navigating the Tax Clearance Letter Process in Texas – One of the administrative hurdles that SALT professionals deal with regularly is obtaining Tax Clearance Letters or Certificates of Good Standing from taxing authorities. It has come to our attention that many COST members have experienced significant difficulty obtaining Tax Clearance Letters in Texas. What has been your experience in obtaini

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Bloomberg TAX

MGM Grand Appeals Filing Procedures in Riverboat Casino Tax Case

July 15, 2024

A state court was wrong to dismiss MGM Grand Detroit Inc.'s challenge to Michigan’s assessment of corporate income tax on the sale of a riverboat casino, the company told a state appeals court.

New Mexico, Montana Weigh Jumping Into Permanent IRS Direct File

July 15, 2024

A handful of states are showing interest in participating in the IRS's free electronic filing tool—also called Direct File—for next tax season.

IRS News Release: Taxpayers Urged to Avoid Social Media for Tax Advice on Tax Credits

July 15, 2024

Taxpayers are warned about misleading claims about the non-existent "Self-Employment Tax Credits" by marketers and social media influencers peddling inaccurate information, the IRS announced. The underlying credit being referred to in social media isn’t called the "Self Employment Tax Credit," it’s a much more limited and technical credit called Credits for Sick Leave and Family Leave, the IRS stated. Many people simply do not qualify for this credit, and the IRS is closely reviewing claims coming in under this provision so people filing claims do so at their own risk, the IRS noted. [IR-2024-187 (July 15, 2024)]

Vance VP Pick Prompts Career Questions for His Trial Lawyer Wife

July 15, 2024

Sen. JD Vance's selection as Donald Trump's running mate poses a career decision for the Ohio Republican's wife, a trial lawyer at a prominent firm.

Customs Doesn’t Owe Delinquency Interest to Domestic Producers

July 15, 2024

A federal appeals panel upheld an international trade court ruling Monday that the US Customs and Border Protection had no responsibility to pay delinquency interest to dozens of domestic producers.

Fallout From Chevron Decision Just Beginning: BLAW, BGOV Webinar

July 15, 2024

During the second installment of a webinar on the Supreme Court's Loper Bright decision, Bloomberg Law executive editor Jo-el Meyer spoke with reporter Kimberly Robinson, principal legal analyst Erin Webb, and Bloomberg Government analyst Karl Evers-Hillstrom about how the loss of Chevron deference will reverberate through federal rulemaking, the courts, and the halls of Congress.

Rehab Center’s Tax Break Gets Rejected by Connecticut Justices

July 15, 2024

A physical therapy rehab facility is ineligible for personal property tax exemptions afforded to charitable and hospital services because the facility—though leased—was effectively acquired by a healthcare system, taking it out of the ambit of the exemption, the Connecticut Supreme Court held.

Repealed Tax Code Section Supports Alimony Exemption, Man Says

July 15, 2024

A since-repealed portion of the Internal Revenue Code doesn't limit alimony agreement terms to a the strict interpretation since adopted by the IRS, a Georgia taxpayer told the Eleventh Circuit.

IRS Warns of Misleading ‘Self-Employment Tax Credit’ Posts

July 15, 2024

The Internal Revenue Service issued a consumer alert Monday following bad advice circulating on social media about a non-existent “self-employment tax credit” that's misleading taxpayers into filing false claims.

Case: Disputes of Fact Remained in Whether Defendant Willfully Failed to File FBARs for Foreign Bank Accounts, Government’s Motion for Summary Judgment Denied

July 15, 2024

Defendant's failure to timely file his Report of Foreign Bank and Financial Accounts (FBAR) was not affirmatively "willful" and material facts remain in dispute, held the district court, denying the government's motion for summary judgment. Defendant, an individual with dual citizenship and employment in multiple countries, did not disclose his foreign bank accounts in Switzerland and Turkey and failed to file FBARs for the accounts on his tax returns for 2013 through 2017. Defendant utilized a tax preparer for his tax returns throughout this period. The government brought suit and filed a motion for summary judgment, stating that Defendant's failure to timely file his FBARs was willful and he was liable for penalties. The court found that it did not need to decide whether the government correctly established the willfulness standard required for failing to timely file an FBAR because a reasonable jury could conclude that Defendant acted negligently as opposed to willfully. The court also determined that genuine factual disputes remained as to the credibility of Defendant's tax preparers and whether signing the tax returns showed willfulness, so summary judgment could not be granted. [United States v. Saydam, No. 22-cv-07371-DMR (N.D. Cal. July 12, 2024)]

Featured Resources

COST - Council on State Taxation

Amicus Briefs

Dine Brands Global, Inc. V. Eubanks and The Walt Disney Company v. Eubanks

COST filed an amicus brief on June 14 asking the Michigan Supreme Court to affirm the decision of the Court of Appeals in Dine Brands Global, Inc. V. Eubanks and The Walt Disney Company v. Eubanks, where the court held an examination or audit conducted by the Treasurer was not an “action or proceeding” under the Michigan Unclaimed Property Act and did not toll the statute of limitations

COST - Council on State Taxation

COST Studies, Articles & Reports

COST - Council on State Taxation

COST Comments & Testimony

CalTax Coalition Letter in Opposition to Proposed Business Tax Increases in A.B. 167, S.B. 167 (Assembly Letter)

COST joined CalTax coalition in opposing various business tax increases in California A.B. 167, S.B. 167, including suspension of the net operating loss deduction, limiting the utilization of business tax incentives and credits such as research and development tax credit, and directly reversing the recent OTA decision in Microsoft by requiring certain revenues to be excluded from a business’ appor