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The Bloomberg BNA SALT Blog is a forum for practitioners and Bloomberg BNA editors to share ideas, raise issues, and network with colleagues about state and local tax topics. The ideas presented here are those of individuals and Bloomberg BNA bears no responsibility for the appropriateness or accuracy of the communications between group members.

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Archive : March 2012


March 30, 2012

Weekly Round-Up: States Outlaw Zappers, a New Variation on ‘Hidden Cash Register’ Trick

A customer pays cash for her order of soup, salad, and steak at a restaurant. When the restaurant is audited for sales tax liability, the steak order has disappeared from the restaurant’s records. What happened to it? Chances are the transaction was “zapped” or deleted from the restaurant’s receipts through the use of data suppression software.

March 28, 2012

Incentives Watch: California Guidance Issued on Research and Development Credit

The California Franchise Tax Board recently issued guidance that clarifies when a taxpayer can claim the research and development credit based on California’s definition of gross receipts.  

March 26, 2012

State Tax Snapshot: Apple Dividend Shines Spotlight on Federal, State Capital Gains Treatment

Nearly all the states tax capital gains at the same rate as ordinary income. But some jurisdictions offer deductions, exclusions, or credits related to such income.

March 23, 2012

Weekly Round-Up: The Myriad of State Tax Issues Facing Groupons

Groupon and LivingSocial are arguably the biggest and most widely subscribed to web-based “deal-of-the-day” discount coupon programs. [For those closely following this developing trend, keep an eye out for Bloomberg BNA’s 2012 Survey of State Tax Departments, set to be issued in late April, which will offer an in-depth look at each state’s tax treatment of these social media coupons.] 

March 21, 2012

Incentives Watch: States Offering a Variety of Incentives to Attract Data Centers

Nebraska recently enacted a bill that offers tax incentives, including sales and use tax refunds and personal property tax exemptions, to companies that build large data centers in the state.

March 19, 2012

State Tax Snapshot: Expiration of Bonus Depreciation, Enhanced Expensing

March 16, 2012

Weekly Round-Up: Food for Thought

Food, specifically the sales tax treatment of food, seems to be on the minds of many state officials these days.

March 14, 2012

Incentives Watch: Virginia Encourages Telework by Offering Tax Credit, Adopting Taxpayer-Friendly Nexus Policy

Telework has enabled many companiesto allow more employees to work from home. Some advantages to this include less traffic and strain on the environment.

March 12, 2012

State Tax Snapshot: Can Telecommuting Trigger Corporate Income Tax Nexus?

The presence of a single employee telecommuting from New Jersey is enough to subject an out-of-state corporation to the state's Corporation Business Tax, the New Jersey Superior Court, Appellate Division held in Telebright Corp. v. New Jersey Div. of Taxn., N.J. Super. Ct. App. Div., No. A-5096-09T2 (March 2, 2012).

March 9, 2012

Weekly Round-Up: New Jersey’s Aggressive Stance on Telecommuters

The presence of a single employee telecommuting from New Jersey is enough to subject an out-of-state corporation to the state's Corporation Business Tax, according to a new decision issued by the New Jersey Superior Court, Appellate Division.

March 7, 2012

Incentives Watch: Tax Foundation State Comparison Study Plays Down Effectiveness of Tax Incentives

A new Tax Foundation study, called Location Matters: A Comparative Analysis of State Tax Costs on Business, analyzed the costs of doing business in each of the 50 states and examined the economic impact of five types of tax incentives, including new job credits, investment credits, research and development credits, payroll withholding tax rebates, and property tax abatements.

March 5, 2012

State Tax Snapshot: Arizona Joins Growing List of Market-Based Sourcing States

Arizona recently enacted legislation (S.B. 1046) allowing corporate taxpayers the option of sourcing income to the state based on sales into its market. In doing so, the state joins a growing minority of jurisdictions that have adopted a market-based method for sourcing (i.e., determining which state is entitled to tax) multistate transactions involving the sale of services or intangibles.

March 2, 2012

Weekly Round-Up: New Jersey Backtracks From Controversial TAM

A new technical advisory memorandum on advance pricing agreements , Technical Advisory Memorandum TAM-2012-1, was issued by the New Jersey Division of Taxation to clear up taxpayer confusion arising from an earlier TAM, and not to reflect a change in tax policy, a senior state official told Bloomberg BNA reporters Erin McManus and Dolores Gregory.