Weekly Round-Up: Special Sessions, Marijuana Legalization Veto, and Other Developments

Highlights from the 5/22/17 through 5/26/17 issues of the Daily Tax Report: State :

  • Gray Areas in State Tax Policies: Bloomberg BNA Survey
    Lawmakers’ strategy to strike a decades-old, state-border restriction on taxing sales may prove fruitful before the U.S. Supreme Court, according to a leading state and local tax practitioner.
  • Oklahoma Governor Ends Oil, Gas Rebates
    Oklahoma Gov. Mary Fallin (R) May 25 signed final legislation ending numerous oil and natural gas rebates. H.B. 2377 moves up the sunset date for seven gross production tax incentives to July 1.
  • Cleveland Cavaliers Stadium Deal No Slam Dunk to Protesters
    If Clevelanders’ tax dollars are used to refurbish King Lebron James’ throne room, protesters also want money funneled to other community needs.
  • Vermont Governor Vetoes Marijuana Legalization Bill
    Vermont Gov. Phil Scott (R) has vetoed a bill that would have legalized an ounce of marijuana and set up a commission to study regulating and taxing the drug.
  • Oklahoma House Passes Oil & Gas Tax Rate Boost
    More than 3,600 Oklahoma oil and gas wells could see their taxation rate temporarily jump from 1 to 4 percent if a bill passed by the House is signed into law.
  • California Bill Rids Fines for Web-Delayed Tax Payments
    Tax and fee payers wouldn't face penalties or interest for failure to pay the California State Board of Equalization if caused by a crash of the tax board's website under a bill the Senate passed unanimously.
  • Give Gas Tax Another Shot: Alabama Businesses to Legislature
    Supporters of a gas tax and $2.45 billion infrastructure plan in Alabama are hoping it could be revived in a special legislative session, after state lawmakers adjourned their general session without passing the proposal.
  • Federal Destination-Based Tax System Would Pressure States
    States might have a difficult time maintaining their corporate income tax structures if the federal government follows a House plan to move to a destination-based cash-flow tax system.
  • Alaska Governor Calls Special Session to Close Budget Gap
    Alaska Gov. Bill Walker (I) has called the Legislature into a 30-day special session to address unfinished business from the 121-day session that ended May 17.

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

  • Arizona Legislature Amends Law On Angel Investor Tax Credit
  • California Court Of Appeal Finds Insolvent Estate Can Close Without Filing Income Tax Return
  • Montana Legislature Revises Net Operating Loss Carryback, Carryforward Periods
  • Ohio Board Of Tax Appeals Finds Cincinnati Reds Failed To Establish Tax Exemption On Promotional Items

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 … 

Caught in the Crosshairs: U.S. Constitutional Challenges When a Jurisdiction Targets a Specific Taxpayer by Eversheds Southerland

Status of Multistate Tax Compact Litigation by PwC


Compiled by Chreasea Dickerson