Weekly Round-Up: New Jersey DOT Chief Is All Ears on Proposed Market-Based Sourcing Rules

The New Jersey Division of Taxation is taking comments on the proposed market-based sourcing rule for services set to go into effect in 2014 "very seriously", Michael Bryan, Director at the New Jersey Division of Taxation said.

In response to the comments, the division is doing "a pretty serious rewrite of" the proposed reg issued earlier this year and will go out and re-propose, he said. Bryan explained:

So we have drafts that we've circulated internally and the plan right now is to, at least internally, vet those with my advisory council. And I really thought we'd be done with that process by now, but we've had some delays in getting input and getting approvals and getting this stuff drafted. So I suspect we'll see those re-proposed sometime early in 2014.

Bryan hopes to "find a solution that really addresses some of those concerns about cost-of-performance and those sort of statutory issues that were raised in the comments."

Bryan's comments were part of a larger interview in this week's issue of the Bloomberg BNA Weekly State Tax Report in which he spoke to Walt Nagel, Don Griswold, and Jeremy Abrams, all with Crowell and Moring's state tax team, about tax amnesty, recent nexus litigation, and the Voluntary Disclosure program for intangible holding companies.

Also in the interview, Bryan addresses the Division's decision not to renew its contract with Chainbridge and discussions with Joe Huddleston at the MTC to implement a centralized transfer pricing audit program at the MTC.

The complete interview with Bryan can be read here.

In other developments…

Bloomberg BNA Announces Arthur Rosen of McDermott Will & Emery LLP As New State Tax Advisory Board Chair

Focus on Tax Controversy - December 2013 , a new publication by McDermott Will & Emery

Legislation in Ohio  Seeks to Refund Businesses All Overpaid Taxes

New York State Bar Association Tax Section issues report on New York State Installment Payment Agreements

Compiled by Priya D. Nair
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