The New Breed of Gross Receipts Taxes and Their Implications For Economic Policy, Constitutional Concerns, Financial Reporting

The Bloomberg BNA Tax Management Weekly State Tax Report filters through current state developments and analyzes those critical to multistate tax planning.

In the past few years, states have begun to turn to gross receipts taxes as a substitute for the corporate income tax, with some taxing regimes incorporating elements not typical of traditional gross receipts tax systems. In this article, Michael H. Salama, Brandee A. Tilman, and Leanne C. Webber, all with The Walt Disney Co. in Burbank, Calif., explore the implications of these new regimes, with particular attention to constitutional questions arising under the Michigan business tax, the Ohio commercial activity tax, and the Texas margin tax.

This article is available to subscribers of the Weekly State Tax Report. For more information or to take a trial to the report, click here.