New Jersey will automatically treat federal S corporations as New Jersey S corporations, effective for periods beginning on or after December 22, 2022. Historically, the New Jersey Division of Revenue and Enterprise...more
The City of Philadelphia has extended the deadline for the filing of a first level review of real estate assessment appeals to October 14, 2022. As such, there may be some confusion about this recent extension. ...more
Pennsylvania’s 2022-2023 budget, Act of Jul. 8, 2022, P.L. __. No. 53 (Act 2022-53) (HB 1342) implements sweeping tax reform and revises some of Pennsylvania’s most business-unfriendly tax provisions. The bill will:.....more
On March 31, Philadelphia City Councilmember Kendra Brooks introduced an ordinance that would impose a tax on certain intangible property, including direct holdings in stocks and bonds, at 0.4 percent. The legislation is...more
Taxpayers and their tax advisers should be aware that there may be deadlines coming up for filing an appeal of the assessed values assigned to properties for tax year 2021 real estate taxes. ...more
Royalty fees for the use of intellectual property that were paid under a royalty fee agreement were not subject to Pennsylvania Sales Tax (SUT). Downs Racing, LP v. Commonwealth, 70 MAP 2017, 71 MAP 2017 (Pa. 2018). Payments...more
A panel of the Pennsylvania Commonwealth Court dismissed a taxpayer’s petition that requested reversal of an order of the Board of Finance and Revenue that a petition for refund of gaming tax for the tax years 2009 through...more
A divided Pennsylvania Supreme Court held that Philadelphia’s tax on sweetened beverages (Soda Tax) was not preempted by Pennsylvania’s Sales and Use Tax. Williams v. City of Philadelphia, Nos. 2, 3 EAP 2018 (Pa. July 18,...more
Hospital Property Taxable upon the Sale of Assets -
A divided panel of the Commonwealth Court held that the assets of a charitable hospital became taxable upon the date of a sale of the property to a for-profit entity and...more
A panel of the Commonwealth Court unanimously held that a local Business Privilege Tax (BPT) imposed on fees paid by Pennsylvania 7-Eleven franchisees to 7-Eleven’s regional office in the township was unconstitutional because...more
Connect Modem Service Not Taxable -
The Pennsylvania Commonwealth Court en banc affirmed a panel decision that service provided by Level 3 Communications to America Online, Inc. constituted internet access service and...more
In RB Alden Corp. v. Commonwealth, No. 73 F.R. 2011 (Pa. Commw. June 15, 2016), the court addressed the taxpayer’s liability for 2006 Corporate Net Income (CNI) Tax on gain from the sale of part of its interest in a...more
A panel of the Commonwealth Court of Pennsylvania held that group homes maintained by a nonprofit for persons with intellectual disabilities were not entitled to real estate tax exemptions as charities. ARC Human Services,...more
A panel of the Commonwealth Court of Pennsylvania held that a taxpayer that did not file post-trial motions waived all issues on appeal. M.C.& P.K. Lees, Inc. v. W.R. Capenos, 215 Pa. Commw. LEXIS 282. The purchaser at a tax...more
The Commonwealth Court of Pennsylvania en banc unanimously held that an amended report filed by a taxpayer could not be considered a petition for a refund of CNI Tax. Quest Diagnostics Venture, LLC v. Commonwealth, No. 782...more
A divided panel of The Commonwealth Court of Pennsylvania held that a reassessment of property upon the expiration of a KOZ abatement was an unlawful spot assessment. Duke Energy Fayette II, LLC v. Fayette County Board of...more
A panel of The Commonwealth Court of Pennsylvania held that attorney’s fees are collectable in a tax sale, notwithstanding that Act 2003-20, which authorized the collection of reasonable attorney’s fees, was retroactive to...more
The Commonwealth Court of Pennsylvania held that a trial court correctly held that a charitable exemption in Allegheny County begins only on the next assessment day, not when the property was acquired. Global Links v....more
In Comptroller of the Treasury of Maryland v. Wynne, Dkt. No. 13-485 (U.S. May 18, 2015), the U.S. Supreme Court found that Maryland’s system of personal income taxation violated the nondiscrimination prong of the dormant...more
The substantial volume of tax sale decisions from appellate courts continues. A tax sale was voided where the tax claim bureau failed to take reasonable steps to notify the owner when service was unsuccessful. 777 L.L.P. v....more
The Commonwealth Court en banc held that a tax appeal from an interim assessment dated September 27, 2012 was properly preserved, notwithstanding that the taxpayer did not appeal a subsequent assessment that reflected a tax...more
The Philadelphia Office of Property Assessment (OPA) recently mailed notices to each owner of property listed as tax exempt on the OPA’s records indicating that the owner must file a form to certify that the property...more
The Philadelphia Office of Property Assessment (OPA) has begun mailing notices to each owner of property listed as tax exempt on the OPA’s records indicating that the owner must file a form to certify that the property...more
Continuing a line of recent appellate decisions, a panel of the Commonwealth Court set aside a tax sale because the tax claim bureau failed to note in the file additional efforts that it had made to notify the owner. In re:...more
A panel of the Commonwealth Court held that a tax sale of owner-occupied property was void because of the failure of the sheriff to include a copy of the notice of the tax sale with affidavits filed in the proceeding....more