State & Local

Clean Energy Tax Credit Market Thrives Despite New Limits

Kat Lucero

The market for selling clean energy tax credits continues to thrive despite the 2025 budget law's stricter eligibility rules for solar and wind incentives, with more corporations embracing the ability to buy those credits as a streamlined method to shrink their tax liabilities.

State & Local Tax Takeaways From February

Maria Koklanaris
Senior Tax Correspondent

As some state legislatures moved closer in February to wrapping up their sessions, state governments worked on budget proposals like a planned digital advertising tax in Michigan and advanced ballot measures that would let voters decide significant changes in tax policy.

3 Takeaways From The Supreme Court's Mich. Tax Sale Case

Maria Koklanaris
Senior Tax Correspondent

The U.S. Supreme Court will consider issues of fairness and just compensation in a case in which a Michigan county seized a home over a disputed $2,200 tax debt and sold it at auction, but oral arguments made clear it will not be an easy decision. Here, Law360 presents three takeaways from the oral arguments in Pung v. Isabella County.

Ill. Swipe Fee Ruling Sets Stage For A High-Stakes Appeal

In Illinois Bankers Association v. Raoul, an Illinois federal court upheld the state's ban on credit and debit card swipe fees on tax and tip payments, while permanently enjoining the statute's data usage limitation, but an imminent appeal could significantly influence the trajectory of state-level payments regulation, say attorneys at Latham.

Lessons From Justices' Split On Major Questions Doctrine

The justices' varied opinions in Learning Resources v. Trump, which held the International Emergency Economy Powers Act did not confer the power to impose tariffs, offer a meaningful window into the U.S. Supreme Court's perspective on the major questions doctrine that will likely shape lower courts' approach to executive action challenges, say attorneys at Venable.

A Worthy Successor: SALT In Review

From the naming of the Multistate Tax Commission's new executive director to a bidding war for the Chicago Bears, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

Aligning Microsoft Tools With NYC Bar AI Recording Guidance

The New York City Bar Association’s recently issued formal opinion, providing ethical guidance on artificial intelligence-assisted recording, transcription and summarization, raises immediate questions about data governance and e-discovery for companies that use Microsoft 365 and Copilot, say Staci Kaliner, Martin Tully and John Collins at Redgrave.

5 Different AI Systems Raise Distinct Privilege Issues

A New York federal court’s recent U.S. v. Heppner decision, holding that a defendant’s use of Claude was not privileged, only addressed one narrow artificial intelligence system, but lawyers must recognize that the spectrum of AI tools raises different confidentiality and privilege questions, says Heidi Nadel at HP.

AI-Assisted Arbitration Needs Safeguards To Ensure Fairness

As tribunals and arbitral institutions increasingly use artificial intelligence tools in their decision-making processes, ​​​​​​​clear disclosure standards and procedural safeguards are necessary to ensure that efficiency gains do not erode the fairness principles on which arbitration depends, says Alexander Lima at Wesco International.

AI-Generated Doc Ruling Guides Attys On Privilege Risks

A New York federal court's ruling, in U.S. v. Heppner, that documents created by a defendant using an artificial intelligence tool were not privileged, can serve as a guide to attorneys for retaining attorney-client or work-product privilege over client documents created with AI, say attorneys at Sher Tremonte.

The Law Firm Merger Diaries: Leadership Strategy After Day 1

For law firm leaders, ensuring a newly combined law firm lives up to its promise, both in its first days of operation and well after, includes tough decisions, clear and specific communication, and cheerleading, says Peter Michaud at Ballard Spahr.

Calif.'s Civility Push Shows Why Professionalism Is Vital

The California Bar’s campaign against discourteous behavior by attorneys, including a newly required annual civility oath, reflects a growing concern among states that professionalism in law needs shoring up — and recognizes that maintaining composure even when stressed is key to both succeeding professionally and maintaining faith in the legal system, says Lucy Wang at Hinshaw.

Now You Spell It, Now You Don't: SALT In Review

From Alaska's move toward a sales tax to a proposal that would do away with property tax in Georgia, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

US-Ukraine Reconstruction Fund Tax Exemptions Uncertain

Tax provisions in the bilateral agreement to establish the U.S.-Ukraine Reconstruction Investment Fund, which recently announced it is accepting applications, are so broad and imprecise as to leave uncertainty regarding whether and when tax exemptions will apply to investors' income, say attorneys at Avellum and Debevoise.

How State FCA Activity May Affect Civil Fraud Enforcement

A growing trend of state attorneys general enforcing their False Claims Act analogues independently of the U.S. Department of Justice carries potential repercussions for civil fraud enforcement and qui tam litigation considerations, say Li Yu at Bernstein Litowitz, Ellen London at London & Naor and Gwen Stamper at Vogel Slade.

Judges On AI: Practical Use Cases In Chambers

U.S. Magistrate Judge Allison Goddard in the Southern District of California discusses how she uses generative artificial intelligence tools in chambers to make work more efficient and effective — from editing jury instructions for clarity to summarizing key documents.