Weekly Round-Up: MTC Model Rules; NY Seeks Tax Disclosure Law; Portland CEO Tax


Highlights from the 12/09/16 issue of the Weekly State Tax Report :

  • New Federal Take on Partnership Audits: A Primer
    A federal law striving to simplify partnership audits became a curveball for states and taxpayers that are trying to determine how the new rules will hit them. The default regime provides for assessment and adjustments at the entity level—rather than among individual partners—absent an election that would transfer liability to the partners.
  • Multistate Tax Group to Reconvene on Model Rules
    A “global” regulation dealing with special purpose entities that don't have ordinary sales income will be among the items taken up by the Multistate Tax Commission's Uniformity Committee at a Dec. 14 meeting in Houston.
  • N.Y. Legislator, Citing Trump, Seeks Tax Disclosure Law
    The Tax Returns Uniformly Made Public (TRUMP) Act would require presidential and vice presidential candidates to disclose their income tax returns going back five years as a condition of appearing on the ballot in New York, if a state senator's proposal gains traction.
  • Want to Tax Remote Sales? Mimic South Dakota: NYU Panelist
    States looking to join the “kill-Quill” movement may want to follow South Dakota's lead, a leading state tax practitioner said. A flurry of states have launched challenges in the past year to the U.S. Supreme Court's 1992 decision in Quill Corp. v. North Dakota, 504 U.S. 298, which prohibits states from imposing sales and use tax collection obligations on sellers without an in-state physical presence.
  • First-in-Nation CEO Tax Passes in Portland, Oregon
    The Portland, Ore., City Council passed a first-of-its-kind tax on companies that pay their chief executive officer at least 100 times more than its median worker, proclaiming stark income disparity “bad for the economy and bad for democracy.” 
  • Washington Asks U.S. High Court to Let Retroactive Tax Stand
    The Washington Attorney General's office urged the U.S. Supreme Court to decline to hear arguments from Dot Foods Inc. that the retroactive application of a change to state tax law was a violation of the company's due process rights (Dot Foods, Inc. v. Wash. Dep't of Revenue, U.S., No. 16-308, cert. response filed 12/5/16).

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

  • Georgia Department of Revenue Adopts Amendments to Rule Concerning Job Tax Credit Program
  • District of Columbia Council Enacts Law to Exempt Feminine Hygiene Products and Diapers from Sales Tax
  • Hawaii: Maui County Finance Department Reminds Homeowners with Exemptions to File State Tax Returns
  • Ohio Department of Taxation Proposes to Amend Rule Concerning Application for Refund of Sales and Use Taxes
  • Tennessee Department of Revenue Issues Letter Ruling on Applicability of Franchise and Excise Taxes to Corporations and Converting Entities

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 …  

Multistate: Uniform Law Commission finalizes Revised Uniform Unclaimed Property Act (RUUPA) with Comments by KPMG

Cost of performance method allowed for Indiana advertiser by PwC

Compiled by Chreasea Dickerson