State & Local
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July 29, 2025
Utah Justices Back Tax On Spouse Of University Student
The husband of a Utah resident is on the hook to pay income tax despite having resided in another state, the Utah Supreme Court said, ruling that because his wife was attending college in the state, he also qualified as a domiciled resident.
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July 29, 2025
NJ Offers Penalty, Interest Waivers For Nonresident Partners
Partnerships with nonresident partners that owe New Jersey tax can request relief from late filing penalties and interest on underpayments of estimated taxes if they have calculated tax based on a former method that was altered in 2024, the state tax agency said.
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July 29, 2025
Calif. Extends Filing Allowance For Taxpayers Without SSNs
California indefinitely extended provisions of a preexisting law allowing nonresidents without a Social Security number or individual taxpayer identification number to file state income tax returns or be included on group returns under a bill signed by Gov. Gavin Newsom.
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July 28, 2025
Trade Group Asks NY Appeals Court To Void PL 86-272 Rules
A business trade group asked a New York state appeals court to negate a state regulation that outlines when out-of-state businesses' online activities exceed P.L. 86-272's state income tax protections, arguing that a lower court incorrectly found the rule wasn't preempted by the federal statute.
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July 28, 2025
NY Tax On Verizon Services Is Barred, Tribunal Affirms
New York's imposition of gross receipts tax on certain Verizon services is preempted by the federal Internet Tax Freedom Act, and the company is not liable for about $12 million in additional tax, the state's Tax Appeals Tribunal affirmed in a decision obtained Monday by Law360.
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July 28, 2025
SALT Cap Complexity Could Rewrite Tax Planning Strategies
The new $40,000 cap on state and local tax deductibility in the GOP's 2025 tax overhaul will likely prompt a new wave of strategic tax planning activity among wealthy business owners and individuals seeking to maximize their deductions and make use of state-level workarounds before the temporary relief expires.
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July 28, 2025
Jones Walker Launches In Minnesota With Tax Partner Hire
Jones Walker LLP announced its first expansion into the state of Minnesota with the hire of an experienced tax partner from Fredrikson & Byron PA who also spent nearly a decade with PwC.
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July 28, 2025
10th Circ. Says Carbon Group Can't Appeal Tax Assessment
An entity that owns interest in a carbon producer can't appeal a $2 million tax assessment made by a Colorado county on a carbon unit operator that the entity owns interest in because the federal court doesn't have jurisdiction, the Tenth Circuit said Monday.
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July 28, 2025
Neb. Tax Board Backs Assessment Of Vacant Commercial Lots
A Nebraska county correctly valued three vacant commercial lots at a combined $540,000, despite the owners' claim that the parcels were purchased for a fraction of that amount, the state Tax Equalization and Review Commission said.
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July 28, 2025
NM Revenues Through Feb. Up $272M From Forecasts
New Mexico's general fund revenue from July 2024 through February outpaced forecasts by $272 million, according to a report by the state's Legislative Finance Committee.
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July 28, 2025
Texas Resolution Seeks Vote On Lower Property Value Limits
Texas would ask voters if the state should amend its constitution to authorize lower limits on the maximum appraised value of residence homesteads and of real property other than homesteads for tax purposes under a joint resolution filed in the state House of Representatives during a special session.
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July 25, 2025
Ill. House Bill Would Hike Estimated Tax Payment Threshold
Illinois would raise the threshold for when certain income taxpayers that aren't corporations must pay estimated tax under a bill introduced in the state House of Representatives.
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July 25, 2025
Calif. County Denied Rehearing Over Timeshare Fee
A California county will not get a rehearing over a judgment that an annual fee the county charges to timeshare resort owners to give them each a value of their own properties for property tax purposes was excessive and, in fact, acted as a tax, an appellate panel ruled.
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July 25, 2025
Nationwide Urges Mich. Justices To Let Unitary Tax Win Stand
Entities of Nationwide urged the Michigan Supreme Court to reject the state tax agency's arguments that the insurance company's affiliates are required to file taxes as separate entities instead of as a unitary group that can share credits among its members.
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July 25, 2025
Rising Star: Gibson Dunn's Michael Q. Cannon
Michael Q. Cannon of Gibson Dunn & Crutcher LLP has been the lead attorney on several high-profile cases, including playing a key role in advising on the tax aspects of the world's largest merger and acquisition deal in 2023, earning him a spot among the tax law practitioners under age 40 honored by Law360 as Rising Stars.
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July 25, 2025
Ore. Broadens Natural Resource Estate Tax Exemption
Oregon is broadening eligibility for the state's estate tax exemption for inherited natural resource interests under a pair of bills signed into law by the governor.
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July 25, 2025
Fla. Says Rent Tax Repeal Doesn't Apply To Late Payments
Florida will repeal its business rent tax starting in October, but rental periods through September are still taxable even if payments occur later, the state Department of Revenue said in a bulletin.
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July 25, 2025
6 Things To Know About Illinois' New Tax Landscape
Illinois' latest budget has altered the state's tax system for 2025 and beyond, including by offering three tax amnesty programs, making significant changes to corporate tax law and implementing a relatively new concept for the sourcing of pass-through entity sales. Here, Law360 looks at aspects that state tax practitioners say are crucial to their clients.
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July 25, 2025
RI Says Resident Owes Tax On Car Purchased In Mass.
A Rhode Island resident who purchased a car in Massachusetts with the intention of driving it to Florida was correctly assessed use tax, the Rhode Island Division of Taxation said, since the vehicle was stored in the Ocean State.
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July 25, 2025
Taxation With Representation: Weil, Freshfields, Linklaters
In this week's Taxation With Representation, CC Capital and One Investment Management acquire Insignia Financial Ltd., catering giant Compass Group PLC acquires Dutch food and hospitality company Vermaat Groep BV, drugmaker Sanofi acquires biotech company Vicebio, and The Ether Machine launches as a public company.
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July 25, 2025
Oregon Extends, Expands Income Tax Credits
Oregon will extend several personal and business income tax breaks, including the state earned income tax credit, and broaden eligibility for its affordable housing lenders tax credit under legislation signed into law by the governor.
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July 25, 2025
Ore. Court Nixes 'Frivolous' Alien Status Claim In Tax Appeal
A U.S. citizen residing in Oregon cannot claim status as a nonresident alien for state tax purposes and avoid taxation on income earned in the state, the Oregon Tax Court ruled.
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July 24, 2025
Calif. Says Car Rental Brokers Not Marketplace Facilitators
California has clarified that brokers that act as go-betweens for car renters and rental agencies are not considered marketplace facilitators, a state tax agency announced Thursday.
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July 24, 2025
Delta Air Owes Property Tax On Intangibles, Ore. Justices Say
Oregon's taxation of the intangible property of Delta Air Lines is constitutional, the state's Supreme Court ruled Thursday, agreeing with the state tax department and reversing a decision by the state tax court.
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July 24, 2025
Businesses Must Not Overlook Local Tax Nexus, Pros Warn
Recent efforts by home-rule cities and other local jurisdictions to broaden their taxing authority and nexus rules may lead to complications for multijurisdictional businesses, practitioners cautioned Thursday.
Expert Analysis
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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.
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7 Ways 2nd Trump Administration May Affect Partner Hiring
President-elect Donald Trump's return to the White House will likely have a number of downstream effects on partner hiring in the legal industry, from accelerated hiring timelines to increased vetting of prospective employees, say recruiters at Macrae.
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E-Discovery Quarterly: Rulings On Custodian Selection
Several recent rulings make clear that the proportionality of additional proposed custodians will depend on whether the custodians have unique relevant documents, and producing parties should consider whether information already in the record will show that they have relevant documents that otherwise might not be produced, say attorneys at Sidley.
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Exploring Venue Strategy For Trump-Era Regulatory Litigation
Litigation will likely play a prominent role in shaping policy outcomes during the second Trump administration, and stakeholders have several tools at their disposal to steer regulatory litigation toward more favorable venues, say attorneys at Covington.