Weekly Round-Up: Budget Standoffs and Legislative Opposition

Highlights from the 4/10/17 through 4/14/17 issues of the Daily Tax Report: State :

  • No Bull: West Virginia Governor Vetoes Budget
    West Virginia Gov. Jim Justice (D) vetoed the Legislature's budget bill April 13, calling it “bull-you-know-what” as he unveiled what appeared to be a pile of cow dung on a plate.
  • Carried-Interest Bill Gets Attention in Connecticut
    A subcommittee in the Connecticut Legislature heard testimony April 11 from the group called Patriotic Millionaires on a bill that would end the carried-interest tax advantage that benefits private-equity and hedge-fund managers.
  • Alaska Oil Tax Changes Narrowly Clear House
    Alaska's House of Representatives narrowly passed changes to its oil tax system, advancing a bill to the Senate where it will meet certain resistance as both chambers clash over plans to close an almost $3 billion budget gap.
  • Massachusetts Senate Boss Calls for Sales Tax on Services
    Massachusetts may again consider implementing a sales tax on services to help develop “a 21st Century revenue system,” Senate President Stanley C. Rosenberg (D) said.
  • Oklahoma Measure to End Wind Credit Passes
    Oklahoma legislation accelerating the sunset of the wind tax credit is now headed to the governor's desk following Senate passage April 10.
  • Illinois House Opposes Expansion of ‘Netflix Tax’
    The Illinois House blasted a hole in a proposal to expand Chicago's so-called “Netflix tax” throughout the state, passing a resolution opposing any plan to tax streaming audio and video services at the state level.
  • Special Session Coming in New Mexico Due to Budget Standoff
    The standoff between New Mexico's Legislature and Gov. Susana Martinez (R) continued April 7 when she signed a budget bill (H.B. 2), but vetoed a package of tax increases offered to her by Democrats.

Some notable developments from the State Tax Developments Tracker —Bloomberg BNA’s tool for monitoring important developments in all the states:

  • Minnesota Supreme Court Finds Corporate President Liable for Corporation's Unpaid Sales Tax
  • Michigan Department of Treasury Rules Qualified Settlement Fund Not Subject to Corporate Income Tax
  • Maryland General Assembly Authorizes Anne Arundel County to Exempt Economic Development Projects From Real and Personal Property Tax
  • New Jersey Tax Court Finds Assets Sale Income of S Corporation Sourced to New Jersey

For more information about this and other state tax issues, sign up for a free trial of the Bloomberg BNA Premier State Tax Library.

In other developments … 

New York Budget Extends Top Personal Income Tax Rate, Makes Other Changes, Other Tax Provisions Removed by PwC

To What Extent Does Your State Rely on Property Taxes? by the Tax Foundation

Compiled by Chreasea Dickerson