Democratic Tax Policy Proposals

Proskauer - Tax Talks
Contact

Proskauer - Tax Talks

Recently, several of the presidential candidates and other prominent Democrats have suggested a number of different tax policy proposals, including wealth taxes, mark-to-market taxation, a VAT, additional taxes, increased income tax rates, and increased gift and estate taxes. This chart illustrates the various proposals, and this blog summarizes them.[1]

Wealth Taxes Mark-to-Market Tax VAT Increased Taxes Financial Transaction Tax Additional Taxes Increased Gift & Estate Tax
Bernie Sanders

Elizabeth Warren

Cory Booker

Julián Castro

Ron Wyden

Andrew Yang Alexandra Ocasio-Cortez

Bernie Sanders

Bernie Sanders

Kamala Harris

Andrew Yang

Beto O’Rourke (War Tax)

Bernie Sanders (CEO Pay Tax)

Elizabeth Warren (Social Security Tax and Lobbying Tax)

Bernie Sanders

Julián Castro

Elizabeth Warren’s and Bernie Sander’s Wealth Tax Proposals

Sens. Elizabeth Warren (D-Mass.) and Bernie Sanders (I-Vt.) have proposed similar wealth taxes. The Sanders proposal imposes a wealth tax of between 1% and 8% on individuals with a net worth of at least $16 million for single individuals or $32 million for married filers. Warren would impose a 2% wealth tax on net worth between $50 million and $1 billion, and a 3% wealth tax on net worth greater than $1 billion.

The chart below compares the two proposals.

  Sanders’s Proposal Warren’s Proposal
Tax Rates For married filers:

·       1% tax on net worth of $32 million to $50 million

·       2% tax on net worth of $50 million to $250 million

·       3% on net worth of $250 million to $500 million

·       4% on net worth of $500 million to $1 billion

·       5% on net worth of $1 billion to $2.5 billion

·       6% on net worth of $2.5 billion to $5 billion

·       7% on net worth of $5 billion to $10 billion

·       8% on net worth exceeding $10 billion

(these brackets would be halved for single filers)

For both married and single filers:

·       2% tax on net worth[2] between $50 million and $1 billion

·       3% tax on net worth above $1 billion

Revenue projections over a decade[3] $4.35 trillion $2.6 trillion
Number of households affected[4] 180,000 households 75,000 households

Ron Wyden’s, Corey Booker’s, and Julián Castro’s Mark-to-Market Proposals

Sen. Ron Wyden (D-Ore.) and presidential candidates Sen. Cory Booker (D-N.J.) and Julián Castro have each proposed “mark-to-market” taxes on wealthy and high-income individuals. Each of these proposals would tax unrealized gains in publicly-traded property, and would impose an additional tax upon the sale of nontraded property. Each of the proposals would also increase the capital gains rate so that it is equal to the ordinary income rate for these taxpayers.

Ron Wyden’s Mark-to-Market Proposal

Wyden’s mark-to-market proposal would apply to individuals, estates or trusts with income in excess of $1 million or assets exceeding $10 million in each of the three prior tax years.[5] For purposes of determining whether the $10 million asset test is satisfied, the first $2 million of combined value of a taxpayer’s primary and secondary personal residences would be excluded, the value of a taxpayer’s operating family farm would be included only to the extent it exceeds $5 million, and the first $3 million of a taxpayer’s retirement savings would excluded.

These taxpayers would be required to “mark-to-market” their publicly-traded assets on an annual basis and pay a tax on any appreciation (or take a loss on any depreciation) at the end of the tax year as if they had been sold.

In addition, a “look-back charge” would be imposed on gains from non-publicly traded assets like closely-held businesses, investment real estate, and art and collectibles, upon a realization event, which would generally include any transfers of these types of property or the death of the owner. The look-back charge would minimize any benefit of deferring the tax until disposition of the asset. However, the proposal requests comments as to whether the look-back charge should be an interest charge on deferred tax, a yield-based tax, or a surtax based on an asset’s holding period.

Proceeds from the primary and secondary residences of a taxpayer only in excess of $2 million, and proceeds from a family farm only in excess of $5 million, would be subject to the look-back charge rule. Wyden’s proposal would not apply to assets held in tax-preferred savings accounts, which would continue to be taxed in the same manner as under current law.

Wyden’s proposal would also include transition rules that would require taxpayers to pay tax on pre-proposal built-in gains over an unspecified period.

Publicly-traded corporations would generally not be subject to Wyden’s proposal, but there would be anti-abuse rules that would prevent taxpayers from using a corporation to avoid application of the mark-to-market rules. The Wyden proposal would apply the regime at the partner or S corporation shareholder level, and an interest in a partnership or S corporation would generally be treated as a nontraded asset.

Cory Booker

Cory Booker has proposed a mark-to-market tax that would apply in a manner similar to Wyden’s.[6]

Booker’s proposal would impose a mark-to-market tax on publicly-traded assets and a yield-based tax upon the sale of non-traded assets. The yield-based tax would result in the same tax as for the owner of publicly-traded property, assuming each appreciated on a constant basis, and the taxpayer sold stock with a value equal to the tax in each year. Booker’s plan would allow taxpayers to prepay taxes to minimize the yield-based tax. Realization for these purposes would include death and transfers to other family members and entities as well as gifts of appreciated property to charities. Booker’s proposal would also repeal section 1031 (the “like-kind exchange”) which permits taxpayers to exchange real estate tax-free.

Booker’s mark-to-market regime would apply only to gains realized after the taxpayer exceeds a $2 million lifetime exemption on combined realized and unrealized gains. Taxpayers below this threshold would continue to pay taxes on capital gains upon realization, rather than under the mark-to-market regime.

Julián Castro

Julián Castro has also proposed a mark-to-market system for the wealthiest 0.1 percent of taxpayers.[7]

Like Wyden’s and Booker’s proposals, Castro’s tax would be imposed annually on the unrealized gains of publicly-traded securities, regardless of whether the securities are sold. Castro’s plan also contemplates an unspecified look-back tax on the sale of nontraded property, similar to Wyden’s. Realization would include death and transfers to family members.

Castro would raise the capital gains tax rate to match ordinary income tax rates for individuals who earn $400,000 or more. Castro would also raise the ordinary income rate to 40%.

  Wyden’s Proposal Booker’s Proposal Castro’s Proposal
Capital Gains Tax Rate Increase to match marginal ordinary income tax rates, but the rates of low-income individuals would not change Increase to match marginal ordinary income tax rates Households with $400,000 or more of income would increase to 40%
Tradeable Assets Tax on traded assets by marking-to-market on an annual basis Tax on traded assets by marking-to-market on an annual basis Tax on traded assets by marking-to-market on an annual basis
Non-tradeable assets Unspecified lookback charge on nontraded assets upon realization event Yield-based tax on nontraded assets Unspecified lookback charge on nontraded assets upon a realization event
Threshold Taxpayers subject to mark-to-market regime if they earn more than $1 million of income or have more than $10 million in assets in each of three preceding years Taxpayers subject to mark-to-market regime if they exceed lifetime $2 million exemption for realized and unrealized gains Taxpayers subject to mark-to-market regime if they are among the 0.1% wealthiest taxpayers

Andrew Yang’s VAT Proposals

Presidential candidate Andrew Yang has proposed a 10% value-added tax (VAT).[8] Groceries and clothing would be excluded.

Yang estimates that the VAT would generate $800 billion in new revenue.

The revenue would be used to provide every U.S. citizen over the age of 18 with a guaranteed income of $1,000 per month regardless of income or employment status, which Yang calls a “freedom dividend.”

Income Tax Proposals

Bernie Sanders

Bernie Sanders has proposed to increase the individual marginal income tax rate as follows:

  • 40% (from 37%) on income between $250,000 and $500,000
  • 45% on income between $500,000 and $2 million
  • 50% on income between $2 million and $10 million
  • 52% on income above $10 million.

Sanders also proposes to cap itemized deductions at 28% for households making over $250,000, and to repeal the 20% “pass-through deduction”.

Sanders proposes to restore the corporate tax rate to 35% (from 21% currently), treat large master-limited and other partnerships as corporations for tax purposes, eliminate expensing and accelerated depreciation for corporations so that investments are depreciated based on their economic life. Sanders would also limit the interest deductions of corporations to 20% of adjusted taxable income, and tighten the related party rules.[9]

Sanders would also revise the international tax rules by taxing worldwide income at the U.S. corporate rate (i.e., Sanders would repeal the 10.5% global intangible low-taxed income (GILTI) rate) and apply a per-country limit on foreign tax credits (i.e., disallow cross-crediting).

Sanders would further restrict inversions by limiting interest deductions (presumably only for inverted corporations) to 105% of a U.S. corporation’s share of net interest expense over worldwide income (presumably based on the group’s income).

Sanders would also treat companies that are managed and controlled in the United States as domestic corporations, and would drastically expand the definition of an “inverted corporation” to one owned by 50% of the same (presumably U.S.) shareholders after a merger.

Sanders would retain the “base erosion and anti-abuse tax” (BEAT) but increase the rate to 17.5% (from 10%), and exclude deductible payments that give rise to includable U.S. income. He would repeal the reduced 13.125% tax rate for “foreign derived intangible income” (FDII), and deny U.S. foreign tax credits for excise tax payments by oil, extractive, gambling, and other companies.

Finally, Sanders would require corporations with revenues over $25 million to publicly disclose significant portions of their tax returns and country-by-country financial information.

Alexandria Ocasio-Cortez

Rep. Alexandria Ocasio-Cortez (D-N.Y.) has suggested that the top marginal income tax rate could be raised as high as 70% as part of her “Green New Deal”.

The Washington Post reported that a tax rate of 70% on income over $10 million could raise an additional $720 billion of new revenue over a decade.[10]

Financial Transaction Tax Proposals

Bernie Sanders, Kamala Harris, and Andrew Yang have each proposed financial transaction taxes on trades of stocks, bonds and derivatives.

Bernie Sanders would apply a 0.5% tax for stocks, a 0.1% tax for bonds, and a 0.005% for derivatives, and would provide an income tax credit to offset the financial transaction tax for taxpayers with income of less than $50,000 (or $75,000 for couples). Kamala Harris’ financial transactions tax is similar to Sanders’, except that her tax rate would be lower than his (0.2% for stock trades and 0.002% for payments under derivative contracts) and she has not indicated whether any taxpayers would be exempt from the tax. Sanders estimates that his proposal would raise over $2.4 trillion in revenue over 10 years, and Harris projects that her tax would raise over $2 trillion over that period.

Andrew Yang has also proposed a 0.1% tax on financial transactions.[11] Yang projects that this tax would raise $50 billion in revenue per year and would finance his “freedom dividend”.

Proposals for Additional Taxes

Beto O’Rourke’s War Tax

Beto O’Rourke (D-Texas) has proposed an additional “war tax” as part of a broader initiative to improve care for veterans.[12]

Each Congressionally-authorized war would trigger a separate ‘“war tax,” covering the entire duration of combat activities. The revenue generated from the war tax would go into a new trust for veterans established at the outset of each war. The trust funds would support hospital care, medical services, disability compensation and any other programs directly related to the care of veterans of that war.

The war tax would be levied on households without current or veteran members of the armed forces and implemented on a progressive basis as shown below. The policy has no stated exemptions for low-income taxpayers.

Adjusted gross income of the taxpayer Amount of tax
Less than $30,000 $25
At least $30,000 but less than $40,000 $57
At least $40,000 but less than $50,000 $98
At least $50,000 but less than $75,000 $164
At least $75,000 but less than $100,000 $270
At least $100,000 but less than $200,000 $485
At least $200,000 $1,000

Bernie Sander’s Exorbitant CEO Pay Tax

Bernie Sanders has also proposed to impose additional taxes on corporations based on the ratio of its CEO’s compensation and its median employees’ compensation. His plan would apply to publicly and privately-held companies with annual revenue of $100 million or more.

  • 0.5% between 50 and 100 to 1
  • 1% for ratios between 100 and 200 to 1
  • 2% for ratios between 200 and 300 to 1
  • 3% for ratios between 300 and 400 to 1
  • 4% for ratios between 400 and 500 to 1
  • 5% for ratios over 500 to 1

Sanders estimates that if median worker pay is increased to $60,000 a year and CEO pay is capped at $3 million, no additional tax would result. However, if corporate behavior does not change, Sanders estimates that the proposal would generate an additional $150 billion in revenue over a decade. This revenue would be used to pay for Sander’s proposal to eliminate medical debt.

Elizabeth Warren’s Social Security Tax

Warren has proposed a new 14.8% contribution requirement on annual earnings of $250,000 (or $400,000 for joint filers), split evenly between employers and employees. She would also impose a separate 14.8% tax on net investment income of taxpayers who meet those thresholds. The revenue would be used to fund the Social Security Trust Fund and permit current and future recipients of Social Security to receive an additional $200 in monthly benefits.

Elizabeth Warren’s Lobbying Tax

Warren has proposed that companies and organizations that spend between $500,000 and $1 million a year on lobbying would pay a 35% tax on those expenditures. Lobbying expenditures over $1 million would be subject to a 60% tax, and lobbying expenditures over $5 million would be subject to a 75% tax.

Gift & Estate Tax Proposals

Cory Booker

Booker also has proposed to restore the estate tax structure to 2009 levels and rates by lowering the threshold value of estates subject to the tax to $7 million for married taxpayers from the current $22.8 million threshold.

Bernie Sanders

Sanders would also reduce the threshold value of estates subject to estate tax to $7 million for married taxpayers. In addition, the existing flat 40% estate tax rate would be replaced with the following progressive rates:

  • 45% for the value of an estate between $3.5 million and $10 million
  • 50% for the value of an estate between $10 million and $50 million
  • 55% for the value of an estate in excess of $50 million
  • An additional 10% surtax would apply to estate value in excess of $500 million ($1 billion for married couples).

Sanders also proposes to (1) change the rules for “grantor retained annuity trusts” (“GRATs”) and other types of trusts and valuation techniques, and (2) increase existing protections for farmland and conservation.

Julián Castro

Julián Castro would replace the estate and gift tax with an income and payroll tax on inheritances in excess of a $2 million lifetime exemption. Castro estimates that the new inheritance tax would generate $250 billion in revenue over 10 years.

Discussion

The wealth tax proposals each apply only to the wealthiest Americans and have no effect on other taxpayers. If the wealth tax proposals were enacted without changes to the income tax, taxpayers subject to them who earn current income would be subject to both the income tax and the wealth tax with respect to that income. However, taxpayers who hold (and do not sell) appreciated assets would be subject only to the wealth tax. Thus, the proposals retain the current disparate tax treatment between capital and labor. Also, the wealth tax requires annual valuations and is subject to constitutional challenge. On the other hand, because the wealth tax generates revenue each year, it is more likely to raise revenue even when faced with the possibility of repeal by a future Congress.[13]

Wyden’s and Booker’s mark-to-market proposals apply to many more taxpayers than either wealth tax. Castro’s proposal is limited to the top 0.1% wealthiest individuals. Each of the proposals would impose tax on appreciated holdings, but not on labor (which is currently subject to current tax at the highest marginal rates). Thus, the proposals generally equalize the tax treatment of labor and capital. Each of the mark-to-market proposals would be relatively easy to apply to publicly-traded assets, but would be more complicated to apply to non-traded assets. Mark-to-market taxation is widely believed to be constitutional but still may be subject to challenge. A look-back regime or yield-based tax for nontraded assets may raise less revenue if taxpayers anticipate that it will be repealed by a future Congress and delay realization until after repeal.[14]

Andrew Yang’s VAT would apply to all Americans, including low and middle-income taxpayers. Although VATs are generally regressive, the regressive effect of Yang’s VAT is offset somewhat by the use of the revenue to pay his freedom dividend.

The financial transaction taxes proposed by Sanders, Harris and Yang would fall disproportionately on the wealthy (who have more financial assets) but it would also be borne by foreigner taxpayers, who hold about 20% of U.S. long-term securities.[15] A financial transactions tax does not present significant valuation difficulties because the tax is imposed when the securities are sold or exchange. It also would not face constitutional challenge.[16] However, it could affect market liquidity and would be borne to some extent by the middle class.

[1] Several candidates have proposed repeal of the Tax Cuts and Jobs Act. This chart does not reflect that proposal.

[2] Assets held anywhere in the world would be included in the net worth measurement, including residences, closely held businesses, assets held in trust, retirement assets, assets held by minors, and personal property with a value of $50,000 or more.

[3] These estimates are from Emmanuel Saez and Gabriel Zucman, two economists at the University of California, Berkeley, with whom both the Sanders and Warren campaigns consulted as they developed their proposals.

[4] These are estimates produced by Emmanuel Saez and Gabriel Zucman.

[5] These thresholds would apply to both single and joint filers and would be indexed for inflation. A taxpayer with income or assets that exceed either of the thresholds would be subject to the regime until the taxpayer fails to meet both income and asset requirements for three consecutive tax years, at which point the taxpayer could elect out of anti-deferral accounting.

[6] “Opportunity and Justice for Workers,” Cory 2020, https://corybooker.com/issues/economic-security-and-opportunity/opportunity-and-justice-for-workers/.

[7] “Working Families First,” Julián Castro 2020, https://issues.juliancastro.com/working-families-first/.

[8] “What is Universal Basic Income?”, Yang 2020, https://www.yang2020.com/what-is-freedom-dividend-faq/.

[9] It appears that these changes would be limited to C corporations.

[10] Jeff Stein, “Ocasio-Cortez wants higher taxes on very rich Americans. Here’s how much money that could raise.”, Washington Post (Jan. 5, 2019), https://www.washingtonpost.com/business/2019/01/05/ocasio-cortez-wants-higher-taxes-very-rich-americans-heres-how-much-money-could-that-raise/.

[11] Yang’s proposal seems to be similar to the bill introduced by Sen. Brian Schatz (D-Hawaii) and Rep. Peter DeFazio (D-Ore.) that would impose a 0.1% tax on trades of stock, bonds, and derivatives. See S. __, 116th Cong. (2019), https://www.schatz.senate.gov/imo/media/doc/WSTA%20Final.pdf?mod=article_inline. The Congressional Budget Office estimated that the tax would raise $770 billion over a 10-year period. See Congressional Budget Office, “Impose a Tax on Financial Transactions”, CBO (Dec. 13, 2018), https://www.cbo.gov/budget-options/2018/54823?mod=article_inline.

[12] The proposal mirrors the Veterans Health Care Trust Fund Act, which stalled in the House of Representatives when he introduced it in 2016 and 2017 and died without a hearing. “Beto O’Rourke’s War Tax Is a New Approach”, Tax Foundation, https://taxfoundation.org/beto-orourke-war-tax/.

[13] See Daniel Hemel, “Taxing Wealth in an Uncertain World” (Draft, Sept. 17, 2019).

[14] See Hemel, footnote 14.

[15] See David Kamin & Lily Batchelder, “Taxing the Rich: Issues and Options” (Aspen Instit., Sept. 2019).

[16] See Kamin & Batchelder, footnote 17.

[View source.]

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Proskauer - Tax Talks | Attorney Advertising

Written by:

Proskauer - Tax Talks
Contact
more
less

Proskauer - Tax Talks on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide

JD Supra Privacy Policy

Updated: May 25, 2018:

JD Supra is a legal publishing service that connects experts and their content with broader audiences of professionals, journalists and associations.

This Privacy Policy describes how JD Supra, LLC ("JD Supra" or "we," "us," or "our") collects, uses and shares personal data collected from visitors to our website (located at www.jdsupra.com) (our "Website") who view only publicly-available content as well as subscribers to our services (such as our email digests or author tools)(our "Services"). By using our Website and registering for one of our Services, you are agreeing to the terms of this Privacy Policy.

Please note that if you subscribe to one of our Services, you can make choices about how we collect, use and share your information through our Privacy Center under the "My Account" dashboard (available if you are logged into your JD Supra account).

Collection of Information

Registration Information. When you register with JD Supra for our Website and Services, either as an author or as a subscriber, you will be asked to provide identifying information to create your JD Supra account ("Registration Data"), such as your:

  • Email
  • First Name
  • Last Name
  • Company Name
  • Company Industry
  • Title
  • Country

Other Information: We also collect other information you may voluntarily provide. This may include content you provide for publication. We may also receive your communications with others through our Website and Services (such as contacting an author through our Website) or communications directly with us (such as through email, feedback or other forms or social media). If you are a subscribed user, we will also collect your user preferences, such as the types of articles you would like to read.

Information from third parties (such as, from your employer or LinkedIn): We may also receive information about you from third party sources. For example, your employer may provide your information to us, such as in connection with an article submitted by your employer for publication. If you choose to use LinkedIn to subscribe to our Website and Services, we also collect information related to your LinkedIn account and profile.

Your interactions with our Website and Services: As is true of most websites, we gather certain information automatically. This information includes IP addresses, browser type, Internet service provider (ISP), referring/exit pages, operating system, date/time stamp and clickstream data. We use this information to analyze trends, to administer the Website and our Services, to improve the content and performance of our Website and Services, and to track users' movements around the site. We may also link this automatically-collected data to personal information, for example, to inform authors about who has read their articles. Some of this data is collected through information sent by your web browser. We also use cookies and other tracking technologies to collect this information. To learn more about cookies and other tracking technologies that JD Supra may use on our Website and Services please see our "Cookies Guide" page.

How do we use this information?

We use the information and data we collect principally in order to provide our Website and Services. More specifically, we may use your personal information to:

  • Operate our Website and Services and publish content;
  • Distribute content to you in accordance with your preferences as well as to provide other notifications to you (for example, updates about our policies and terms);
  • Measure readership and usage of the Website and Services;
  • Communicate with you regarding your questions and requests;
  • Authenticate users and to provide for the safety and security of our Website and Services;
  • Conduct research and similar activities to improve our Website and Services; and
  • Comply with our legal and regulatory responsibilities and to enforce our rights.

How is your information shared?

  • Content and other public information (such as an author profile) is shared on our Website and Services, including via email digests and social media feeds, and is accessible to the general public.
  • If you choose to use our Website and Services to communicate directly with a company or individual, such communication may be shared accordingly.
  • Readership information is provided to publishing law firms and authors of content to give them insight into their readership and to help them to improve their content.
  • Our Website may offer you the opportunity to share information through our Website, such as through Facebook's "Like" or Twitter's "Tweet" button. We offer this functionality to help generate interest in our Website and content and to permit you to recommend content to your contacts. You should be aware that sharing through such functionality may result in information being collected by the applicable social media network and possibly being made publicly available (for example, through a search engine). Any such information collection would be subject to such third party social media network's privacy policy.
  • Your information may also be shared to parties who support our business, such as professional advisors as well as web-hosting providers, analytics providers and other information technology providers.
  • Any court, governmental authority, law enforcement agency or other third party where we believe disclosure is necessary to comply with a legal or regulatory obligation, or otherwise to protect our rights, the rights of any third party or individuals' personal safety, or to detect, prevent, or otherwise address fraud, security or safety issues.
  • To our affiliated entities and in connection with the sale, assignment or other transfer of our company or our business.

How We Protect Your Information

JD Supra takes reasonable and appropriate precautions to insure that user information is protected from loss, misuse and unauthorized access, disclosure, alteration and destruction. We restrict access to user information to those individuals who reasonably need access to perform their job functions, such as our third party email service, customer service personnel and technical staff. You should keep in mind that no Internet transmission is ever 100% secure or error-free. Where you use log-in credentials (usernames, passwords) on our Website, please remember that it is your responsibility to safeguard them. If you believe that your log-in credentials have been compromised, please contact us at privacy@jdsupra.com.

Children's Information

Our Website and Services are not directed at children under the age of 16 and we do not knowingly collect personal information from children under the age of 16 through our Website and/or Services. If you have reason to believe that a child under the age of 16 has provided personal information to us, please contact us, and we will endeavor to delete that information from our databases.

Links to Other Websites

Our Website and Services may contain links to other websites. The operators of such other websites may collect information about you, including through cookies or other technologies. If you are using our Website or Services and click a link to another site, you will leave our Website and this Policy will not apply to your use of and activity on those other sites. We encourage you to read the legal notices posted on those sites, including their privacy policies. We are not responsible for the data collection and use practices of such other sites. This Policy applies solely to the information collected in connection with your use of our Website and Services and does not apply to any practices conducted offline or in connection with any other websites.

Information for EU and Swiss Residents

JD Supra's principal place of business is in the United States. By subscribing to our website, you expressly consent to your information being processed in the United States.

  • Our Legal Basis for Processing: Generally, we rely on our legitimate interests in order to process your personal information. For example, we rely on this legal ground if we use your personal information to manage your Registration Data and administer our relationship with you; to deliver our Website and Services; understand and improve our Website and Services; report reader analytics to our authors; to personalize your experience on our Website and Services; and where necessary to protect or defend our or another's rights or property, or to detect, prevent, or otherwise address fraud, security, safety or privacy issues. Please see Article 6(1)(f) of the E.U. General Data Protection Regulation ("GDPR") In addition, there may be other situations where other grounds for processing may exist, such as where processing is a result of legal requirements (GDPR Article 6(1)(c)) or for reasons of public interest (GDPR Article 6(1)(e)). Please see the "Your Rights" section of this Privacy Policy immediately below for more information about how you may request that we limit or refrain from processing your personal information.
  • Your Rights
    • Right of Access/Portability: You can ask to review details about the information we hold about you and how that information has been used and disclosed. Note that we may request to verify your identification before fulfilling your request. You can also request that your personal information is provided to you in a commonly used electronic format so that you can share it with other organizations.
    • Right to Correct Information: You may ask that we make corrections to any information we hold, if you believe such correction to be necessary.
    • Right to Restrict Our Processing or Erasure of Information: You also have the right in certain circumstances to ask us to restrict processing of your personal information or to erase your personal information. Where you have consented to our use of your personal information, you can withdraw your consent at any time.

You can make a request to exercise any of these rights by emailing us at privacy@jdsupra.com or by writing to us at:

Privacy Officer
JD Supra, LLC
10 Liberty Ship Way, Suite 300
Sausalito, California 94965

You can also manage your profile and subscriptions through our Privacy Center under the "My Account" dashboard.

We will make all practical efforts to respect your wishes. There may be times, however, where we are not able to fulfill your request, for example, if applicable law prohibits our compliance. Please note that JD Supra does not use "automatic decision making" or "profiling" as those terms are defined in the GDPR.

  • Timeframe for retaining your personal information: We will retain your personal information in a form that identifies you only for as long as it serves the purpose(s) for which it was initially collected as stated in this Privacy Policy, or subsequently authorized. We may continue processing your personal information for longer periods, but only for the time and to the extent such processing reasonably serves the purposes of archiving in the public interest, journalism, literature and art, scientific or historical research and statistical analysis, and subject to the protection of this Privacy Policy. For example, if you are an author, your personal information may continue to be published in connection with your article indefinitely. When we have no ongoing legitimate business need to process your personal information, we will either delete or anonymize it, or, if this is not possible (for example, because your personal information has been stored in backup archives), then we will securely store your personal information and isolate it from any further processing until deletion is possible.
  • Onward Transfer to Third Parties: As noted in the "How We Share Your Data" Section above, JD Supra may share your information with third parties. When JD Supra discloses your personal information to third parties, we have ensured that such third parties have either certified under the EU-U.S. or Swiss Privacy Shield Framework and will process all personal data received from EU member states/Switzerland in reliance on the applicable Privacy Shield Framework or that they have been subjected to strict contractual provisions in their contract with us to guarantee an adequate level of data protection for your data.

California Privacy Rights

Pursuant to Section 1798.83 of the California Civil Code, our customers who are California residents have the right to request certain information regarding our disclosure of personal information to third parties for their direct marketing purposes.

You can make a request for this information by emailing us at privacy@jdsupra.com or by writing to us at:

Privacy Officer
JD Supra, LLC
10 Liberty Ship Way, Suite 300
Sausalito, California 94965

Some browsers have incorporated a Do Not Track (DNT) feature. These features, when turned on, send a signal that you prefer that the website you are visiting not collect and use data regarding your online searching and browsing activities. As there is not yet a common understanding on how to interpret the DNT signal, we currently do not respond to DNT signals on our site.

Access/Correct/Update/Delete Personal Information

For non-EU/Swiss residents, if you would like to know what personal information we have about you, you can send an e-mail to privacy@jdsupra.com. We will be in contact with you (by mail or otherwise) to verify your identity and provide you the information you request. We will respond within 30 days to your request for access to your personal information. In some cases, we may not be able to remove your personal information, in which case we will let you know if we are unable to do so and why. If you would like to correct or update your personal information, you can manage your profile and subscriptions through our Privacy Center under the "My Account" dashboard. If you would like to delete your account or remove your information from our Website and Services, send an e-mail to privacy@jdsupra.com.

Changes in Our Privacy Policy

We reserve the right to change this Privacy Policy at any time. Please refer to the date at the top of this page to determine when this Policy was last revised. Any changes to our Privacy Policy will become effective upon posting of the revised policy on the Website. By continuing to use our Website and Services following such changes, you will be deemed to have agreed to such changes.

Contacting JD Supra

If you have any questions about this Privacy Policy, the practices of this site, your dealings with our Website or Services, or if you would like to change any of the information you have provided to us, please contact us at: privacy@jdsupra.com.

JD Supra Cookie Guide

As with many websites, JD Supra's website (located at www.jdsupra.com) (our "Website") and our services (such as our email article digests)(our "Services") use a standard technology called a "cookie" and other similar technologies (such as, pixels and web beacons), which are small data files that are transferred to your computer when you use our Website and Services. These technologies automatically identify your browser whenever you interact with our Website and Services.

How We Use Cookies and Other Tracking Technologies

We use cookies and other tracking technologies to:

  1. Improve the user experience on our Website and Services;
  2. Store the authorization token that users receive when they login to the private areas of our Website. This token is specific to a user's login session and requires a valid username and password to obtain. It is required to access the user's profile information, subscriptions, and analytics;
  3. Track anonymous site usage; and
  4. Permit connectivity with social media networks to permit content sharing.

There are different types of cookies and other technologies used our Website, notably:

  • "Session cookies" - These cookies only last as long as your online session, and disappear from your computer or device when you close your browser (like Internet Explorer, Google Chrome or Safari).
  • "Persistent cookies" - These cookies stay on your computer or device after your browser has been closed and last for a time specified in the cookie. We use persistent cookies when we need to know who you are for more than one browsing session. For example, we use them to remember your preferences for the next time you visit.
  • "Web Beacons/Pixels" - Some of our web pages and emails may also contain small electronic images known as web beacons, clear GIFs or single-pixel GIFs. These images are placed on a web page or email and typically work in conjunction with cookies to collect data. We use these images to identify our users and user behavior, such as counting the number of users who have visited a web page or acted upon one of our email digests.

JD Supra Cookies. We place our own cookies on your computer to track certain information about you while you are using our Website and Services. For example, we place a session cookie on your computer each time you visit our Website. We use these cookies to allow you to log-in to your subscriber account. In addition, through these cookies we are able to collect information about how you use the Website, including what browser you may be using, your IP address, and the URL address you came from upon visiting our Website and the URL you next visit (even if those URLs are not on our Website). We also utilize email web beacons to monitor whether our emails are being delivered and read. We also use these tools to help deliver reader analytics to our authors to give them insight into their readership and help them to improve their content, so that it is most useful for our users.

Analytics/Performance Cookies. JD Supra also uses the following analytic tools to help us analyze the performance of our Website and Services as well as how visitors use our Website and Services:

  • HubSpot - For more information about HubSpot cookies, please visit legal.hubspot.com/privacy-policy.
  • New Relic - For more information on New Relic cookies, please visit www.newrelic.com/privacy.
  • Google Analytics - For more information on Google Analytics cookies, visit www.google.com/policies. To opt-out of being tracked by Google Analytics across all websites visit http://tools.google.com/dlpage/gaoptout. This will allow you to download and install a Google Analytics cookie-free web browser.

Facebook, Twitter and other Social Network Cookies. Our content pages allow you to share content appearing on our Website and Services to your social media accounts through the "Like," "Tweet," or similar buttons displayed on such pages. To accomplish this Service, we embed code that such third party social networks provide and that we do not control. These buttons know that you are logged in to your social network account and therefore such social networks could also know that you are viewing the JD Supra Website.

Controlling and Deleting Cookies

If you would like to change how a browser uses cookies, including blocking or deleting cookies from the JD Supra Website and Services you can do so by changing the settings in your web browser. To control cookies, most browsers allow you to either accept or reject all cookies, only accept certain types of cookies, or prompt you every time a site wishes to save a cookie. It's also easy to delete cookies that are already saved on your device by a browser.

The processes for controlling and deleting cookies vary depending on which browser you use. To find out how to do so with a particular browser, you can use your browser's "Help" function or alternatively, you can visit http://www.aboutcookies.org which explains, step-by-step, how to control and delete cookies in most browsers.

Updates to This Policy

We may update this cookie policy and our Privacy Policy from time-to-time, particularly as technology changes. You can always check this page for the latest version. We may also notify you of changes to our privacy policy by email.

Contacting JD Supra

If you have any questions about how we use cookies and other tracking technologies, please contact us at: privacy@jdsupra.com.

- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.