State & Local
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April 29, 2025
NY Court Upholds PL 86-272 Regulations, Bars Retroactivity
A New York rule allowing state taxation of nonsolicitation business activities over the internet isn't barred by a federal law providing limited protections against state income tax, but the rule cannot apply retroactively, a state Supreme Court ruled.
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April 29, 2025
MTC Group To Weigh Updating Airline, Broadcaster Tax Rules
A Multistate Tax Commission committee gave the green light Tuesday for a work group to consider ways to revise the intergovernmental agency's decades-old sourcing regulations for airlines and broadcasting companies to account for how they generate income from current business practices.
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April 29, 2025
Hochul, Legislators Agree On Budget With Small-Biz Tax Cuts
New York Gov. Kathy Hochul and lawmakers agreed on a budget plan with payroll mobility tax relief for small businesses and a $1 billion tax cut for middle- and low-income residents, the governor said, despite critics saying the plan leaves the state exposed to federal cuts.
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April 29, 2025
Kansas To Require Single Sales Factor For Multistate Cos.
Kansas will require multistate corporations to switch from the three-factor apportionment method for income to a single-sales-factor apportionment method and to market-based sourcing of receipts under a bill signed by the governor.
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April 29, 2025
Kan. Creates Sales Tax Exemption For Data Center Developers
Kansas established a sales tax exemption for businesses that build and make purchases for the development of data centers in the state under a bill signed by the governor.
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April 28, 2025
Court Urged To Reconsider Jurisdiction In Tribal Tariff Row
Blackfeet Nation members are asking a Montana federal judge to reconsider an order to transfer their challenge against President Donald Trump's tariffs on imports from Canada and abroad to the U.S. Court of International Trade, saying the decision is based on the constitutional question of the Indian commerce clause.
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April 28, 2025
Mich. Justices Won't Hear Cos.' Bid To Adjust Asset Basis
Michigan's highest court declined Monday to review an appeals court's decision that two companies may not account for depreciation they didn't receive credit for under Michigan law to increase the basis of assets they sold when determining their state tax liabilities.
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April 28, 2025
Colo. House OKs Tax Break For Employee-Owned Businesses
Colorado would offer a $1 million state tax deduction and other tax benefits for conversions of businesses into worker-owned cooperatives under a bill approved Monday by the state House of Representatives.
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April 28, 2025
Reds, Bengals Stadiums' Land Tax Upheld By Ohio Board
The land on which the stadiums for the Cincinnati Bengals and Cincinnati Reds reside are subject to property tax, but parking facilities near the sports complexes are tax-exempt because they are used for public purposes, the Ohio Board of Tax Appeals ruled.
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April 28, 2025
Maine Revenue Surpasses Forecast By $8M Through March
Maine's general revenue collection from July through March outperformed a forecast by $8 million, according to a report by the state Department of Administrative and Financial Services.
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April 28, 2025
Mo. Proposed Rule Outlines SALT Cap Workaround
The Missouri Department of Revenue would carry out a law that allows members of pass-through entities to opt out of the state's entity-level tax that bypasses the $10,000 federal cap on state and local tax deductions under a proposed regulation.
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April 28, 2025
Ore. Tax Court Allows Partial Deduction For Timber Biz Owner
The owner of an Oregon timber business can make a partial deduction from gross income for contract labor expenses, but the rest of his claimed deductions were properly recalculated by a state Department of Revenue auditor, the Oregon Tax Court ruled.
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April 28, 2025
Ark. Will Exempt Groceries From State Sales Tax
Arkansas will exempt groceries from state sales and use tax starting in 2026 under a bill signed into law by Gov. Sarah Huckabee Sanders.
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April 28, 2025
Colo. House Panel OKs Axing Deduction For Free Sports Bets
Colorado would eliminate a tax deduction for sports betting operators for free bets placed by players under a bill approved by the state House Appropriations Committee.
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April 28, 2025
Ala. Couple Failed To Abandon Domicile, Tribunal Says
A couple who left Alabama for work in other states owe income tax for the 2014 and 2019 tax years because they failed to abandon their domicile, the state's Tax Tribunal ruled.
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April 28, 2025
Colo. Ends Tax Reimbursement For Destroyed Property
Colorado will no longer provide reimbursements for property taxes when real or business property is destroyed by natural causes under legislation signed by Gov. Jared Polis.
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April 28, 2025
Md. Expands Tax Break For Biz-Owned Child Care Property
Maryland expanded eligibility for a property tax credit for Anne Arundel County businesses that dedicate a portion of their property to child care services under a bill signed by the governor.
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April 25, 2025
Feds Say Tariff Fight Belongs In International Trade Court
The Trump administration wants to litigate a challenge to its tariffs in a federal trade court, not the D.C. district court, arguing that the U.S. Court of International Trade is the only venue with jurisdiction to hear the case.
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April 25, 2025
Detroit Man Gets 5 Years For Tax Refund Laundering
A Detroit man was sentenced Friday in Maryland federal court to five years in prison for his role in laundering money stolen from federal and North Carolina state tax refunds and was ordered to pay $604,000 in restitution.
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April 25, 2025
Colo. House Panel OKs Upgrade Of Sales Tax Search Engine
Colorado would enhance its online search engine for sales and use tax license information under legislation approved unanimously Friday by a House panel.
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April 25, 2025
Colo. House Panel OKs Employee Ownership Tax Break
Worker-owned cooperatives in Colorado could deduct $1 million from their state taxable income and enjoy other tax breaks under legislation approved Friday by a state House panel.
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April 25, 2025
State Coffers, Businesses Brace For Tariffs' SALT Impacts
President Donald Trump's new tariffs could impose further pressures on state coffers that were already experiencing a slowdown in tax collections while underscoring the need for businesses to ensure they are complying with state sales tax obligations on the charges.
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April 25, 2025
For Now, Calif. Won't Extend False Claims Act To Tax Matters
California's latest attempt to expand the state's False Claims Act to tax matters, a bill that had the support of the state attorney general, has failed for now after dying in committee.
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April 25, 2025
Remote Workers Get 2nd Shot At Cleveland Tax Interest Case
Two Ohio taxpayers can move forward with their proposed class suit claiming that the city of Cleveland owes interest on income tax refund payments to nonresidents and that it improperly withheld tax on some income, a state appeals court ruled.
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April 25, 2025
Red Light Program Contractor Loses Ohio Sales Tax Protest
A contractor operating a red light enforcement program for the city of Cleveland is liable for sales tax on purchases of utility poles related to that operation, the Ohio Board of Tax Appeals said Friday.
Expert Analysis
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AI Will Soon Transform The E-Discovery Industrial Complex
Todd Itami at Covington discusses how generative artificial intelligence will reshape the current e-discovery paradigm, replacing the blunt instrument of data handling with a laser scalpel of fully integrated enterprise solutions — after first making e-discovery processes technically and legally harder.
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When Innovation Overwhelms The Rule Of Law
In an era where technology is rapidly evolving and artificial intelligence is seemingly everywhere, it’s worth asking if the law — both substantive precedent and procedural rules — can keep up with the light speed of innovation, says Reuben Guttman at Guttman Buschner.
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Imagine The Possibilities Of Openly Autistic Lawyering
Andi Mazingo at Lumen Law, who was diagnosed with autism about midway through her career, discusses how the legal profession can create inclusive workplaces that empower openly autistic lawyers and enhance innovation, and how neurodivergent attorneys can navigate the challenges and opportunities that come with disclosing one’s diagnosis.
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Litigation Funding Disclosure Debate: Strategy Considerations
In the ongoing debate over whether courts should require disclosure of litigation funding, funders and plaintiffs tend to argue against such mandates, but voluntarily disclosing limited details about a funding arrangement can actually confer certain benefits to plaintiffs in some scenarios, say Andrew Stulce and Marc Cavan at Longford Capital.
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Open Season On A Department Of Revenue: SALT In Review
From a Kentucky proposal that would put the state's tax staffers in the crosshairs to yet another call to exempt tips from tax, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.
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5 Ways To Create Effective Mock Assignments For Associates
In order to effectively develop associates’ critical thinking skills, firms should design mock assignments that contain a few key ingredients, from messy fact patterns to actionable feedback, says Abdi Shayesteh at AltaClaro.
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Mentorship Resolutions For The New Year
Attorneys tend to focus on personal achievements or career milestones when they set yearly goals, but one important area often gets overlooked in this process — mentoring relationships, which are some of the most effective tools for professional growth, say Kelly Galligan at Rutan & Tucker and Andra Greene at Phillips ADR.
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5 Litigation Funding Trends To Note In 2025
Lawyers and their clients must be prepared to navigate an evolving litigation funding market in 2025, made more complicated by a new administration and the increasing overall cost of litigation, says Jeffery Lula at GLS Capital.
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Rethinking Litigation Risk And What It Really Means To Win
Attorneys have a tendency to overestimate litigation risk before summary judgment and underestimate risk after it, but an eight-stage litigation framework can clarify risk at different points and help litigators reassess what true success looks like in any particular case, says Joshua Libling at Arcadia Finance.
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Bad Ideas From Coast To Coast: SALT In Review
From calls for higher taxes in Washington state to New Jersey's tax credits for Netflix, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.
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No, Litigation Funders Are Not 'Fleeing' The District Of Del.
A recent study claimed that litigation funders have “fled” Delaware federal court due to a standing order requiring disclosure of third-party financing, but responsible funders have no problem litigating in this jurisdiction, and many other factors could explain the decline in filings, say Will Freeman and Sarah Tsou at Omni Bridgeway.
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5 E-Discovery Predictions For 2025 And Beyond
In the year to come, e-discovery will be shaped by new and emerging trends, from the adoption of artificial intelligence provisions in protective orders, to the proliferation of emojis as a source of evidence in contemporary litigation, say attorneys at Littler.
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Illinois Banking Brief: All The Notable Legal Updates In Q4
While the last quarter of 2024 didn't bring any notable state financial legislation, Illinois banks did see developments in the challenge to the Interchange Fee Prohibition Act, and received some awaited guidance on credit line disclosures and bank-fintech relationships, say attorneys at Dykema.