Weekly Report from Washington, D.C.
During the week of July 23, the House cleared two bipartisan health care-related tax packages. The packages, combining several bills, aim to expand health savings accounts (HSAs) and the health...
View ArticleIndiana Explains Impact of Wayfair
The Indiana Department of Revenue has provided additional sales and use tax guidance in the wake of the decision in Wayfair v. South Dakota. What Happened in Wayfair ? In South Dakota v. Wayfair, the...
View ArticleNebraska Issues Guidance for Remote Sellers
In light of the U.S. Supreme decision in South Dakota v. Wayfair, the Nebraska Department of Revenue has issued guidance on the collection of sales tax by certain remote sellers. Remote Sellers Remote...
View ArticleUtah Enacts Economic Nexus Law
Enacted Utah legislation imposes economic nexus and expands certain sales and use tax exemptions. Economic Nexus A seller not otherwise obligated to pay or collect and remit sales and use tax is so...
View ArticleIRS Expands Debt Discharge Relief to Some Private Student Loans
The IRS has expanded debt discharge relief to borrowers who used private student loans to pay educational costs at schools owned by: Corinthian Colleges, Inc. (CCI), and American Career Institutes,...
View ArticleIowa Sales Tax Holiday Coming Soon
The Iowa Department of Revenue has issued a reminder about the upcoming annual sales tax holiday. The 2018 sales tax holiday will be held from 12:01 a.m. on Friday, August 3, 2018, until midnight on...
View ArticleSenate Finance Schedules Treasury, IRS Nominations Markup
The Senate Finance Committee (SFC) has scheduled an August 1 nominations markup for top IRS and Treasury positions. The SFC vote is expected to come just days before senators depart for the shortened,...
View Article2003 Bearer Share Regulations Invalid; Banning Shares from Foreign...
The 2003 bearer-share regulations—which did not allow a foreign corporation to use bearer shares to establish its eligibility for a tax exemption for its U.S.-source gross transportation income—were...
View ArticleSale of New Business Was Applicable Asset Acquisition, Included Goodwill;...
Wind farms that were sold before their first use nevertheless included goodwill. Since the properties included this intangible asset, the sales were applicable asset acquisitions under Code Sec. 1060....
View ArticleCalifornia Extends Deadlines for Employers Affected by Fires
For corporate and personal income tax purposes, the California Employment Development Department (EDD) is extending deadlines for employers in: – Napa County directly affected by the Steele fire which...
View ArticleSFC Approves Trump’s IRS, Treasury Nominees; Capital Gains at Issue
The Senate Finance Committee has approved President Trump’s nominees for top IRS and Treasury positions. The two nominations were sent to the Senate floor on August 1 for a full chamber vote, but not...
View ArticleAdministration Broadens Short-Term Health Insurance Exemption from Affordable...
The Departments Health and Human Services, Labor and the Treasury have amended the definition of short-term, limited-duration individual health insurance coverage by allowing such coverage to last up...
View ArticleProposed Regulations Address Code Sec. 965 Transition Tax (NPRM REG-104226-18)
Proposed regulations provide rules for determining the Code Sec. 965 transition tax. These rules determine the inclusion amount of a U.S. shareholder of a foreign corporation with deferred foreign...
View ArticleAlabama Explains Impact of Federal Tax Cuts and Jobs Act
The Alabama Department of Revenue explains the impact of the provisions of the federal Tax Cuts and Jobs Act (TCJA) in preliminary guidance. The TCJA enacted changes to the federal tax system for both...
View ArticleVirginia Issues Sales Tax Holiday Reminder
The Virginia Department of Taxation reminds taxpayers about the upcoming sales tax holiday being held from August 3 through August 5, 2018. During the holiday period, consumers can purchase the...
View ArticleSenate Approves IRS Funding Bill; Congress Departs for August Recess
The Senate has approved an IRS funding bill. The bill covers the fiscal year (FY) 2019 budget for the IRS. The Senate’s approved IRS budget provides less funding than a House-approved proposal. The...
View ArticleMichigan Issues Sales Tax Economic Nexus Guidelines
Michigan has issued sales and use tax guidance on economic nexus standards for remote sellers in light of the U.S. Supreme Court’s decision in South Dakota v. Wayfair. Economic Nexus Test: Two...
View ArticleRhode Island Adopts C Corp IRC Sec. 965 Regulations
Rhode Island requires C corporations to include net Sec. 965 income as Rhode Island income in their 2017 tax year. Rhode Island has adopted regulations concerning the tax treatment of IRC Sec. 965...
View ArticleProposed IRS Regs Reflect New Bonus Depreciation Rules
The IRS has proposed regulations to incorporate the 100% bonus depreciation rules that were part of the Tax Cuts and Jobs Act (P.L. 115-97). Taxpayers may apply these proposed regs to property acquired...
View ArticleIRS Grants Automatic Consent to Cash Accounting Method Changes for Small...
The IRS will provide automatic consent when a small business taxpayer asks to change to the cash method of accounting. Small business taxpayers are most corporations and partnerships with average...
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