Weekly Round-Up: State Tax and the Trump Administration

Highlights from the 2/3/17 issue of the Weekly State Tax Report :

  • Trump's High Court Pick May Shadow Scalia in State Tax Cases
    Justice Antonin Scalia's potential successor may be cut from a similar judicial cloth—but it remains to be seen how the Supreme Court nominee could shape state tax issues. President Donald Trump's announcement of Neil Gorsuch as his pick for the high court sparked speculation of how the federal appeals court judge may influence state and local tax controversies, ranging from retroactive legislation to remote sales taxation.
  • States Plan Uneasily for Spending, Taxing in Trump's Shadow
    President Donald Trump and the GOP-controlled Congress will likely make drastic tax changes at the federal level, creating a lot of unknowns for states as they enter budget-setting time.
  • Federal Tax Changes Likely to Drive State Competition
    A Republican plan to change the way exports and imports are taxed federally could drive states to battle for manufacturing business with tax credits and incentives.
  • California Bills Likely on Taxation of Software
    California lawmakers are likely to introduce bills this year to clarify the reach of a 2015 court ruling on the scope of sales and use tax on software stored on tangible media, as the State Board of Equalization continues to struggle with its response.
  • Montana House Committee to Table Partnership Audits Bill
    The sponsor of a bill designed to conform Montana law to the new Internal Revenue Service partnership audit regime said the measure will soon be defeated.
  • Hawaii Joins Remote Sales Tax Frenzy With New Bills
    Moving through the Hawaii Legislature are bills to join a growing list of states imposing reporting/notification schemes on remote retailers. Under another bill, the state also would create a voluntary program to allow out-of-state vendors to collect, report and remit a simplified sellers use tax. 

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

  • California Film Commission Announces Application Dates for California Film and Television Tax Credit Program 2.0
  • Delaware Department of State Proposes to Amend Certain Rules Governing Bingo
  • Massachusetts Department of Revenue Publishes Tax Expenditure Budget for Fiscal Year 2018
  • Florida Governor Announces Fight to Cut $8 Million in Additional Annual Fees for Veterans, Seniors and Businesses
  • Iowa Department of Revenue Adopts Amendments to Rules Concerning Historic Preservation and Cultural and Entertainment District Tax Credit
  • Wisconsin Department of Revenue Publishes 2016 Tax Practitioner Questions and Answers

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 Department Addresses Combined Group Extension, Capital Loss Carrybacks by PwC

Massachusetts High Court Rejects Claim That Single Sales Factor Apportionment Formula Violates Commerce Clause by Grant Thorton

  Compiled by Chreasea Dickerson