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Technology Transfer Agreements: Latest Developments in California

Since their introduction in California in 1993, the sales and use taxation of technology transfer agreements has been the subject of significant litigation and a seemingly endless regulation project. In the past few...more

Proposed Initiative to Amend San Francisco Business Taxes

A proposed initiative is being circulated to place on the November 5, 2024 ballot, an ordinance amending the Business and Tax Regulations Code effective January 1, 2025....more

A Hat Tip to the Manufacturing, R&D and Electric Power Industries: California Bill Would Provide Income Tax Credits for Sales and...

California’s Existing Partial Exemption for Statewide Sales and Use Tax Paid on Qualified Tangible Personal PropertyRTC section 6377.1 exempts from certain state sales and use taxes the sale of, and the storage, use or other...more

California Proposes Significant Revisions to Sales & Use Tax Statistical Sampling Audit Policies and Procedures

The California Department of Tax and Fee Administration held its second interested parties meeting concerning the Department’s proposed revisions to its sales and use tax Audit Manual Chapter 13 (Statistical Sampling) and...more

2/9/2023  /  Audits , California , Sales & Use Tax

California Supreme Court Addresses Exhaustion of Administrative Remedies in Context of Proposition 218 BID Assessments

California Supreme Court holds that courts can entertain arguments that a BID assessment scheme violates certain provisions of Proposition 218 when raised by a party who did not articulate these objections in public hearings...more

CDTFA Proposes Amendments to Regulation 1706 (Drop Shipments) to Clarify that Marketplace Sales Are Generally Not Drop Shipment...

The California Department of Tax and Fee Administration (Department) has given notice that it proposes to amend California Code of Regulations, title 18, section (Regulation) 1706, Drop Shipments.  Regulation 1706,...more

Hidden Within the Transparency and Fairness Act of 2017 was the Little Noticed Exemption from OAL Review of the CDTFA’s Proposed...

Much to the recent surprise of many in the tax community, the California Department of Tax and Fee Administration (“CDTFA”) is able to adopt or amend regulations without the normal review process by the Office of...more

Should San Francisco Taxpayers File Protective Claims for Recovery of the Homelessness Tax and the Commercial Rents Tax?

In 2018, San Francisco voters approved, by simple majority vote, two new gross receipts taxes: the Homelessness Gross Receipts Tax (SF-HT) and the Commercial Rents Tax (SF-CRT), with both taxes effective as of January 1,...more

The Split-Roll Initiative Is Poised to Rock California’s Property Tax System

This November, California voters will decide whether commercial and industrial properties will lose their Proposition 13 protection against property tax reassessment. The Split-Roll Initiative has officially qualified for...more

California Court of Appeal Concludes Transfer Tax Not Applicable to Purchase of Realty Encumbered by Long-Term Leasehold

In 731 Market Street Owner LLC v. City and County of San Francisco (June 18, 2020), California appellate court affirms that local realty transfer tax does not apply when leasehold has a remaining term of 35 years or...more

The U.S. Supreme Court Changes Sales and Use Tax Collection Nexus

In South Dakota v. Wayfair, Inc., the Court overrules the “physical presence” requirement as “unsound and incorrect” - The Court holds that the South Dakota law satisfies the Commerce Clause “substantial nexus”...more

Dueling Rent Taxes Come Up before San Francisco Voters in June

San Francisco electorate will vote on a new 1.7% or 3.5% tax on commercial rentals in June 2018. It is estimated that about $65 million annually would be collected from the commercial real estate industry under the Housing...more

California Supreme Court Decision Changes the Transfer Tax World

In 926 North Ardmore Avenue LLC v. County of Los Angeles, the California Supreme Court concluded that, subject to certain limitations, California’s Documentary Transfer Tax Act (the California DTTA), applicable to direct...more

Four Things You Should Know about New York State’s Recent Advisory Opinion on the Taxation of Software as a Service (“SaaS”)

On May 15, 2015, the New York State Department of Taxation and Finance released Advisory Opinion TSB-A-15(2)S which concluded that sales of certain cloud computing services are not subject to New York State sales and use tax....more

Four Things You Should Know About New York's Recent Advisory Opinion on the Taxation of SaaS

On May 15, 2015, the New York Department of Taxation and Finance determined in Advisory Opinion TSB-A-15(2)S that the sale of certain cloud computing services were not subject to New York State sales and use tax. The Advisory...more

Five Things to Know about New Jersey’s Taxation of Convertible Virtual Currency

On March 10, 2015, the New Jersey Division of Taxation issued Technical Advisory Memorandum TAM-2015-1, explaining its policy regarding convertible virtual currency. - The IRS has held that convertible virtual currency...more

4/20/2015  /  Barter , Bitcoin , IRS , Personal Property , Sales Tax

Five Things You Should Know About New York State’s Taxation of Convertible Virtual Currency

On December 5, 2014, the New York State Department of Taxation and Finance issued TSB-M-14(5)C, (7)I, (17)S, explaining its policy regarding convertible virtual currency....more

12/16/2014  /  Bitcoin , Income Taxes , IRS , Popular , Virtual Currency

70 Days and Counting: Clock Is Ticking to Claim Embedded Software Tax Exemption

The amount of non-taxable embedded software being taxed in California is a staggering number. While companies own assets with millions of dollars of embedded software, few companies are maximizing their property tax savings...more

2/28/2014  /  Software , Tax Exemptions
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