Weekly Round-Up: State Tax Experts Converge at Annual Georgetown Conference


State tax officials and practitioners from 37 states gathered at Georgetown University Law Center for two days to present and discuss current and evolving state and local tax issues, Bloomberg BNA State Tax Law Editor Christine Boeckel reports in this week’s issue of the Weekly State Tax Report. Click here for Boeckel’s complete coverage of the conference.

Joe Huddleston (Multistate Tax Commission), Stephen Cordi (Deputy Chief Financial Officer, head of the D.C. Office of Tax and Revenue), Cory Fong (North Dakota Tax Commissioner), and Marshall Stranburg (Deputy General Counsel, Florida Department of Revenue), discussed priorities for state tax commissioners for this year, including Florida’s efforts to further streamline its property tax regime. The new combined reporting regime enacted in the District of Columbia was a hot topic of debate as well.

A lively discussion between Frederick J. Nicely (Council on State Taxaton), Carolynn Iafrate Kranz (Kranz & Associates PLLC), and Jeremiah T. Lynch (Ryan, LLC) covered trendy sales and use tax developments.

Following an explanation of the approaches the states use to determine the sales price attributable to transactions when a deal-of-the-day instrument is redeemed, the group agreed the best approach is probably to treat the amount as a discount. Under this approach, the sales price would be measured by the amount paid by the consumer for the deal.

Lynch highlighted the click-through nexus provisions enacted by Connecticut and Illinois which contain no presumption language, as compared to those of other states. Colorado's use tax reporting regime, which was found unconstitutional by the U.S. District Court in Colorado, required significant actions for businesses and harsh penalties for failure to comply, and seemed like an effort to encourage businesses to collect sales tax rather than face compliance with the notice requirements, Iafrate Kranz explained.

In other developments…

California FTB files Petition for Rehearing in Gillette, PwC reports.

Deficit-reduction package that lacks significant revenues would shift very substantial costs to states and localities, according to a new report by the Center on Budget and Policy Priorities.

How the States Would Be Affected by Extension of the Bush Tax Cuts and Other Provisions, a new report by the Tax Foundation.

State Tax Update: August 2012, a new report by the National Conference of State Legislatures.

Compiled by Priya D. Nair
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