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New Jersey Closes Loophole, Increases Multi-Millionaires Rate

New Jersey enacted legislation: – increasing taxes on multi-millionaires. – closing the “carried interest loophole;” – increasing the maximum deduction for homestead property taxes paid from $10,000 to...

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Vermont Budget Bill Increases Nonresidential Property Tax Rate

Vermont increases its nonresidential property tax rate. The rate will increase from $1.535 per $100 in fiscal year 2018 to $1.58 per $100 in fiscal year 2019. This change takes effect July 1, 2018, and...

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U.S. Citizen Was Bona Fide U.S. Virgin Islands Resident for Two of Three...

A U.S. citizen was a bona fide resident of the U.S. Virgin Islands for two of three tax years at issue. For those two years, the individual had the intent, physical presence, social relationships, and...

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Alabama Announces Guidance in Response to Wayfair Decision

The Alabama Department of Revenue has issued guidance for online sellers as a result of the recent decision in South Dakota v. Wayfair, Inc., U.S. Supreme Court, Dkt. No. 17-494, June 21, 2018....

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Michigan Provides Further Guidance on Impact of Federal Act

The Tax Cuts and Jobs Act (TCJA), enacted on December 22, 2017, made sweeping changes to federal tax law. Three of the most significant changes relate to foreign-sourced income earned by U.S....

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New Jersey Imposes Surcharge on Ride Services

New Jersey will tax ride services arranged through smartphone apps, imposing a 50-cent surcharge on  rides. Companies that offer the app services must collect the surcharge, beginning October 1, 2018....

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New Jersey Imposes Tax on Liquid Nicotine

New Jersey will tax liquid nicotine at a rate of $0.10 per fluid milliliter. Enacted legislation imposes the tobacco products wholesale sales and use tax on liquid nicotine used in electronic...

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Remote Sellers Will Have Wisconsin Tax Duties Beginning October 1

Beginning October 1, 2018, Wisconsin will require certain out-of-state sellers to pay sales or use tax. The tax will apply to sales of taxable products and services in Wisconsin. The Department of...

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Tax Reform Hurts Homeowners, House Democratic Report Says

Homeowners will be hurt financially by last year’s tax reform, according to a new House Democratic staff report. The report alleges that real estate developers will primarily benefit from the new tax...

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Weekly Report from Washington, D.C.

During the week of July 2, President Donald Trump hinted at lowering the corporate tax rate as part of tax reform phase two. Republicans are “thinking about bringing the 21 percent [corporate tax rate]...

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Indiana Updates Remote Seller Guidance

Taxpayers can find Indiana sales tax guidance for remote sellers on an Indiana Department of Revenue FAQ page. Remote sellers can refer to the webpage for answers about complying with Indiana’s sales...

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New Jersey Expands Tax Base for Occupancy Taxes

Enacted legislation imposes New Jersey state sales and use tax and hotel/motel occupancy fees on transient accommodations. Also, the bill authorizes municipalities to impose the taxes and fees on...

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California Grant Employers Extension for Pawnee Fire

For corporate and personal income tax purposes, the California Employment Development Department (department) issued a release stating that the employers in Lake County directly affected by the Pawnee...

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New York Explains Optional Employer Compensation Expense Tax

New York has issued a notice explaining the employer compensation expense tax, which was enacted by the 2018 budget bill. (TAXDAY, 2018/04/16, S.12) Employers can elect to pay the tax if they have...

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Ways and Means Schedules Markup of Health Care-Related Tax Bills

House tax writers are preparing to discuss 11 health-care related tax bills. The House Ways and Means Committee has scheduled a markup of the bills on July 11. The committee’s Chairman Kevin Brady,...

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Texas Victims of Severe Storms, Flooding Get Tax Relief (TX-2018-05)

The president has declared a federal disaster area in Texas. The disaster is due to severe storms and flooding beginning on June 19, 2018. The disaster area includes the following counties: Cameron and...

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Minnesota Tax Commissioner’s Alternative Apportionment Authority Upheld

The Minnesota Supreme Court held that the Commissioner of Revenue properly applied an alternative apportionment method to allocate a taxpayer’s corporate income to Minnesota. Additionally, the court...

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Remote Seller Tax Duties Begin October 1 in North Dakota

Out-of-state, or remote, sellers should register in North Dakota and start collecting sales and use tax on the later of: on October 1, 2018, or 60 days after their North Dakota sales exceed a small...

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Rhode Island Offers Wayfair Guidance

Rhode Island answers frequently asked sales tax collection questions after last month’s decision in South Dakota v. Wayfair, Inc., U.S. Sct. Docket No. 17-494, June 21, 2018. Legislation enacted in...

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Ways and Means GOP, White House Crafting Tax Cuts 2.0 Outline

House Republicans and the Trump Administration are working together to craft a tax cuts “2.0” outline, the House’s top tax writer has said. House Ways and Means Committee Chairman Kevin Brady, R-Tex.,...

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