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OTA Rules in Precedential Opinion Taxpayer Entitled to Interest Abatement Due to FTB’s Delays in the Protest Process

The California Office of Tax Appeals held the Franchise Tax Board abused its discretion in failing to abate interest for a 248-day delay caused by the FTB’s failure to assign a protest hearing officer to the taxpayer’s protest. Taxpayer wins involving interest abatement requests on appeal are fairly uncommon in…

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Limiting Locality Profiteering: New Hampshire Supreme Court Strikes Down State Statute Permitting Localities to Profit from Sales of Seized Tax-Delinquent Properties

In this burgeoning era of creative and aggressive tax collecting efforts by localities, the New Hampshire Supreme Court has unanimously struck down a state statute from permitting localities to profit from sales of properties acquired by tax deed after the passage of three years.  The Court held the state statute…

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COVID-19: Comprehensive Coverage of State Income Tax Relief as of April 13, 2020

State income tax relief in the form of tax return filing and tax payment extensions, and the deployment of related administrative guidance, has evolved rapidly in the last several weeks in the face of the COVID-19 crisis. Of the 45 jurisdictions, including the District of Columbia, that impose an income…

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New York FY 2021 Budget Bill Decouples from CARES Act Taxpayer Relief Provisions

On April 3, 2020, New York State enacted the 2021 fiscal year budget (Budget). The Budget contains several tax measures including decoupling from taxpayer relief provisions of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The CARES Act was signed into law on March 27, 2020 with the…

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Missouri Supreme Court Ends Longstanding Practice of Applying Use Tax Definitions in Sales Tax Cases

On March 17, 2020, the Missouri Supreme Court held that the use tax definition of “sale” cannot be applied to sales tax cases, turning more than two decades of precedent on its head.  In DI Supply I, LLC v. Director of Revenue, DI Supply sold hotel room furnishings to its…

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Oregon Tax Court Applies Wayfair Retroactively in Telecommunications Tax Case

The Regular Division of the Oregon Tax Court just handed down a nexus decision with respect to the collection of an emergency telecommunications tax (E911 Tax).  In Ooma, Inc. v. Department of Revenue, TC 5331 Tax Court, 03/02/2020, the Court concluded that notwithstanding the absence of physical presence in Oregon,…

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COVID-19: Comprehensive Coverage of State Income Tax Relief as of March 29, 2020

Forty-four states plus the District of Columbia impose an income tax on corporations. In response to the COVID-19 pandemic, 36 of those 45 jurisdictions have established income tax relief to corporate taxpayers in the form of tax payment extensions. Of those 36, most also extended the return filing deadline and…

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No Sales or Use Tax Due on Materials and Equipment Used to Construct and Install Steam Facility at Tennessee Manufacturing Plant

In a letter ruling published March 16, 2020, the Tennessee Department of Revenue concluded that a contractor’s purchase of materials and equipment for use in the construction and installation of a new steam production facility at a federally owned manufacturing plant was exempt from Tennessee sales and use tax.  Tenn.…

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San Francisco’s COVID-19 Pandemic “Relief”

In addition to the COVID-19 pandemic relief federal and state authorities have provided to taxpayers in the form of delayed tax return filing and payment deadlines (see Pillsbury’s 3/21/20 Legal Alert co-authored by Carley and Mike, among others), San Francisco has also issued some relief in connection with its core…

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California OTA to Host Informal IPM to Discuss Possible Amendments to Rules for Tax Appeals

The California Office of Tax Appeals will hold an informal interested parties meeting on April 3, 2020, to discuss proposed amendments to its rules for tax appeals. The proposed amendments are in response to feedback from public and internal parties after the OTA began operating under its permanent rules for…