State & Local

Expert Analysis

• Kentucky Tax Talk: Where Art Thou Kentucky Amnesty?

  

  Attorneys at Frost Brown unpack the reasons why Kentucky's tax amnesty program never got off the ground this year, why implementation in 2023 won't be impeded by similar hurdles and how administration of the program may affect other Department of Revenue services once it gets going.

• 5 Proof Of Domicile Takeaways From Calif. Tax Appeals Ruling

  

  The California Office of Tax Appeals' recent Beckwith decision, which boiled down to a dispute over when a taxpayer moved from Tennessee to California for income tax purposes, provides valuable lessons on the evidence needed to establish the ties and intent that underlie tax domicile and residence, says Eric Coffill at Eversheds Sutherland.

• The Tax Comity Doctrine And Other Oddities: SALT In Review

  

  From the little-known tax comity doctrine to governments' continuing pursuit of streaming services, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

• State AGs Are Realizing Power Of False Claims Statutes

  

  State attorneys general appear to be ramping up investigations, prosecutions and interventions using long-underappreciated state and municipal false claims statutes, and early indications signal an increasing focus on cybersecurity misrepresentations, private equity firms' misconduct and securities fraud, say attorneys at Troutman Pepper.

• Foreign Tax Credit Proposal Is Some Help, But More Is Needed

  

  New foreign tax credit regulations proposed by the U.S. Treasury Department provided some measure of relief on cost recovery and royalty withholding, two of the most troublesome aspects of the 2021 final foreign tax credit regulations, but the final regulations are still harmful to many taxpayers, making litigation inevitable, say attorneys at Fenwick.

• Expect Seamless Transition To Controversial Ariz. Flat Tax

  

  The unexpectedly early implementation of Arizona's new 2.5% flat income tax rate in January should be a painless and welcome change for individual taxpayers, even as the long-term impact on state and local economies is the subject of debate, say Karen Jurichko Lowell and Pat Derdenger at Lewis Roca.

• Tax Cuts Hither And Yon: SALT In Review

  

  From proposed tax cuts in Mississippi and Montana to a new, voter-approved limit in Arizona, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

• Midterms And Powerball: SALT In Review

  

  From the midterm election results to the latest Powerball winner, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

• Ohio Tax Talk: One Step Closer To Telework Income Tax Clarity

  

  An Ohio court's recent ruling in Morsy v. Dumas that Cleveland must reimburse city tax on income an employee earned while she worked from another state during the pandemic is limited in the time period to which it applies, but may have important ramifications for the Ohio municipal income tax system as a whole, say Raghav Agnihotri and Rachael Chamberlain at Frost Brown.

• 30 Years of TABOR: SALT In Review

  

  From the anniversary of the Colorado Taxpayer's Bill of Rights to a Missouri barkeep whose tax obligations reached beyond the grave, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

• Rankings And Semiconductors: SALT In Review

  

  From an annual ranking of states' business tax climates to yet another incentive package for the semiconductor industry, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

• Making The Most Of New Tax Credits For EV Charging Stations

  

  The Inflation Reduction Act recently extended, expanded and renewed the tax credits available for electric vehicle charging station projects — but developers must navigate new challenges, including geographic and prevailing wage requirements, to take full advantage of the updated credits, says James English at Clark Hill.

• Key Income Tax Issues Triggered By Remote Employees

  

  A host of fact-specific tax determinations arise in connection with remote work arrangements, from defining working-condition fringe benefit exclusions to nexus-dependent state withholding obligations, complicating compliance for corporate tax counsel and human resources professionals, say Thomas Cryan and Spencer Walters at Ivins Phillips.