In a much anticipated opinion addressing Texas franchise tax apportionment, the Texas Supreme Court ruled on 25 March 2022 in favor of the taxpayer, overturning a court of appeals decision that had upheld the Texas...more
Companies operating in the United States encounter numerous legal and regulatory issues arising from doing business in the world’s largest economy. Anticipating and dealing appropriately with those issues can improve markedly...more
As the coronavirus (COVID-19) pandemic wears on, many companies that adopted emergency work-from-home or work-from-anywhere policies are considering allowing employees to work remotely permanently, even after the threat of...more
Prior to the coronavirus (COVID-19) pandemic, many state taxing authorities asserted that a business could become subject to their states’ tax obligations by having a single employee working from within the states, even if...more
As states and taxpayers settle in for a longer-term pandemic recovery than many first expected, taxpayers are increasingly focused on assessing whether the states in which they do business will conform to certain federal tax...more
Although the U.S. economy was soaring before COVID-19 went from epidemic to pandemic, many states’ revenues were still struggling to recover from the last decade’s recession....more
In a 5-4 decision in South Dakota v. Wayfair, Inc., the Supreme Court overturned its decades-old holding that a company without a physical presence in a state is not subject to the state’s taxing authority. According to the...more
6/28/2018
/ Appeals ,
Commerce Clause ,
Constitutional Challenges ,
Internet Retailers ,
Interstate Commerce ,
Out-of-State Companies ,
Physical Presence Test ,
Quill ,
Reversal ,
Sales & Use Tax ,
SCOTUS ,
South Dakota v. Wayfair ,
Substantial Nexus
The Texas Supreme Court recently held that taxpayers may not use the Multistate Tax Compact’s three-factor formula to apportion their Texas franchise tax base ? i.e., their “margin” ? in calculating their Texas franchise tax...more
The Texas Supreme Court recently handed an owner of a Texas oil refinery a significant victory in Valero Refining-Texas, L.P. v. Galveston Central Appraisal District, No. 15-0492, 2017 WL 727276 (Tex. Feb. 24, 2017). In a...more