Ideas & Insights

Tax planning opportunities for consideration in light of COVID-19, the resulting economic crisis, and evolving tax laws and regulations.

Taxpayer permitted alternative apportionment when calculating Michigan sourced income from the sale of an out-of-state business.

State tax cash-flow maximization and risk minimization are available for private equity groups and their portfolio companies.

Employees working remotely due to the COVID-19 pandemic may result in income tax consequences to both the employee and the employer.

Fund management companies face difficult challenges in determining their state income tax filing obligations and apportionment rules.

Favorable classification available for retailers selling private label products and consumer products companies using contract manufacturing

Amended rules address apportionment and allocation of income from partnership interests owned by corporate partners.

Minnesota passes tax bill enacting numerous changes to the individual income tax, corporate business tax, and sales and use tax.

Commissioner prohibited from applying alternative apportionment after failing to show statutory formula did not reflect Minnesota income.

Lease tax ruling imposed on rental companies renting outside of Chicago violates the home rule provision of the Illinois Constitution.

Private equity companies have become inundated with state income tax issues as portfolio company investments have shifted to partnerships and LLCs.

The combination of sales factor presence standards and market-based sourcing for receipts from sales of services can create significant problems.

Actions taken by the IN Department of Revenue blur lines when apportioning services receipts, creating potential traps and opportunities.

Tax law changes in Massachusetts will challenge engineering and architectural companies, especially with respect to market-based sourcing.

Every company makes purchases, so every company has sales and use tax decisions. Many misjudge their sales tax obligations in these 3 areas.

As businesses scale to meet market demands, sales tax compliance risks come into play. Protect your business against transaction tax risk.