In a significant development in the legal and corporate world, former general counsel of Moody’s Corp., John Goggins, has pleaded guilty to charges of not filing his tax returns for four consecutive years. Goggins was arraigned in a federal court in New Jersey last Thursday, where he admitted failing to file his tax returns from…
In a recent decision concerning New York’s tax treatment of overseas royalties, the U.S. Supreme Court is presented with the opportunity to hear another state tax case pertaining to the dormant commerce clause’s breadth. The New York State Court of Appeals decided on April 23 that both Walt Disney Co. and IBM Corp. are unable…
The uncertain future of major elements of the Tax Cuts and Jobs Act of 2017 (TCJA), set to lapse at the end of 2025, is fueling confusion and making advising clients an increasing conundrum for tax professionals. As the TCJA pertains, the absence of clarity about the fate of more than 20 temporary provisions complicates…
In a recent and potentially influential case, a law firm well-versed in cryptocurrency taxation has brought a trade secrets suit in the U.S. District Court for the Northern District of Illinois. This litigation is directed against another law firm and a previous employee. The accusations center around allegations of the inappropriate use of the plaintiff’s…
The existence and influence of populism in political dialogues cannot be ignored. Indeed, the rise of Donald Trump has tainted the populist reputation due to his brash character and contentious policies. Nevertheless, populism as a concept is certainly not inherently defective. This is depicted through the thought experiment, where we imagine an ideal populist political…
Efforts to streamline tax processes through technology have been ongoing for years, with tax administrations frequently incorporating various tools such as Enterprise Resource Planning (ERP) systems into their operations. Similarly, many accounting firms have significantly invested in expanding their IT capacities. One major example of technological integration into tax administration is the use of Artificial…
In the midst of cryptocurrency’s upward revenue trajectory, an increasing concern arises on tax compliance and policy making in compensation to society. Despite some volatility, digital assets’ popularity continues to climb. With this, the tax reporting gap has also escalated resulting in a loss of at least $50 billion in revenue from crypto transactions. Revolutionary…
In a compelling blend of cases, a Utah attorney has petitioned the U.S. Supreme Court, raising critical issues of whether purportedly retaliatory IRS summonses can be nullified. Simultaneously, contentious legal issues continue to surface as two former pharmaceutical executives mount a rigorous challenge against the constitutionality of their convictions for marketing the off-label use of…
The ongoing debate about the taxation of remote workers, specifically amongst New York, New Jersey, and Connecticut, seems to be intensifying with evolving remote work culture due to the Covid-19 pandemic. The primary issue lies in the application of the “convenience of the employer” test which, despite having the support of New York courts, seems…
The Supreme Court is set to consider a practice that is commonplace in estate planning for closely held corporations. In an attempt to maintain the business within the family after the passing of a shareholder, it’s typical for businesses to purchase a life insurance policy out on the life of an older shareholder. On the…
For the first time in nearly half a century, New York’s superior court has surprised many with a key decision that could potentially disrupt New York City’s enduring and deeply ingrained property tax system. Prevailing in this case that could go down in history, proponents of property tax reform are now on a race against…
As California grapples with its potentially historic $73-billion deficit, the proposal for a digital advertising tax geared towards supporting local journalism has emerged as a significant point of discussion. However, California may find valuable insights by observing Maryland’s own tumultuous experience with a digital ad tax. The digital ad tax debate in Maryland culminated in…
In the ever-evolving tax industry, technological solutions are becoming increasingly prevalent as firms aim to maximize efficiency and profitability. Sideman & Bancroft’s Travis Thompson posits that generative AI, in particular, may play a key role in this. He suggests that the technology has the potential to greatly enhance tax practices by handling more cases at…
In the whirlwind that is the American legal landscape, some notable developments have come to the forefront, each worthy of further exploration for today’s dedicated legal professionals. On a lighter topic, schadenfreude seems to be complimenting the March Madness season as speculation surrounding which of former President Donald Trump’s properties he’d most hate to lose…
One of the largest law firms globally, Baker McKenzie, known for its intimidating presence in the Biglaw scene has just started what could become a historic legal tug war. With 4,800 attorneys and over $3.3 billion in revenue, they have just sued one of the most feared federal agencies in the United States—the IRS. Just…
In a recent development that holds implications for New York City’s real estate taxation system, the city’s highest court has tentatively split on a ruling that could invite a flood of owners registering protests over property valuations, as hinted by one city attorney. The decision came as a result of an appeal led by attorneys…
The New York Court of Appeals ruled on Tuesday to allow a lawsuit filed by Tax Equity Now New York (TENNY), an organization claiming that disparities within the New York City property tax system unfairly burden low-income and majority-people-of-color neighborhoods. Judge Jenny Riviera, representing the court, ruled that the prior dismissal of the case by…
The Tax Injunction Act, a staple of the state court taxation system, has come under fire amidst worsening court case backlogs. Enacted in 1937 as a means to stop large taxpayers from utilizing federal courts to obtain injunctions against taxes, the act stipulates that all state tax claims must proceed in state courts. However, some…
As the 2023 tax year filing season nears its deadline, US taxpayers are encountering a complex framework of federal income tax and reporting obligations regarding foreign trusts. Ambiguity surrounding the identification of foreign arrangements as trusts can have significant tax implications or lead to substantial penalties for delay in reporting foreign trust information to the…
As a longstanding tradition, hosts of the Academy Awards and nominees in key categories including Best Actor, Actress, Supporting Actor, Actress, and Director are lavished with an assortment of gifts contained in a specially curated package. These gifts encompass everything from everyday objects to opulent vacation packages. The assortment offered is anything but ordinary. According…
The Tax Cuts and Jobs Act of 2017, despite being presented as a life-transforming reform of the tax code, has largely failed to fulfill its promise of stimulating job creation, investment or economic growth. This significant change in the tax rulebook has rather led to widespread and institutionalized corporate tax avoidance, with loopholes resulting in…
As New York City begins to outline its new corporate tax system rules yet to be formally proposed, backlash is already ensuing from industry practitioners. One potential measure being explored by city tax officials regarding the taxation of corporate partners is being hotly contested by tax professionals. Critics have contended that this measure significantly diverges…
The advent of Name, Image, and Likeness deals (NIL) provides college athletes with new opportunities for financial profit. However, it also exposes them to potential risks, one of which is tax liabilities. Impacting U.S collegiate athletics, an NIL deal means the student-athlete can earn from endorsements and monetize their athletic success outside their school-funded scholarships…
Two Missouri cases currently in progress are contesting the legality of “tax stacking”, a practice occurring when counties charge a cannabis tax atop an already existing city sales tax. According to Bloomberg Tax, this approach forces cannabis sellers and their customers to pay more taxes than lawmakers originally intended. When this “stacking” occurs, duly registered…
The economic narrative of Nashville echoes the tales of other post-pandemic growth-centric markets including the likes of Miami and Austin. With a blend of friendly taxation and warmer climates, these metropolitan hubs have witnessed a surge in the relocation of both commercial enterprises and their workforce. Last year, Nashville exhibited an encouraging prospect – it…