William P Cook

Tax Alerts

Tax Briefing(s)

2018 Year-End Tax Planning Tax Reform 2.0 2018 Post-Filing Season Update Congress Approves Sweeping Tax Overhaul

Proposed Regs Provided for Code Sec. 163(j) Limit
The IRS has proposed regulations on the limitation on the business interest expense deduction under Code Sec. 163(j), as amended by the Tax Cuts and Jobs Act (TCJA) ( P.L. 115-97). The IRS also has is...

Brady Introduces Revised Tax, IRS Reform Package
The House’s top Republican tax writer has introduced a revised tax and IRS oversight package. The “tweaked” 253-page package addresses retirement savings, disaster relief, IRS reform...

New Tax Reform-Related Regs May Appear Soon
A top Senate tax writer has said additional proposed regulations for the new tax code are expected to be released soon. Treasury Secretary Steven Mnuchin provided Republican senators with an update on...

Tax Court Adopts Amended, New Practice Rules
The Tax Court adopted amendments to its electronic filing and paying rule. The adopted rules cover petitions and other documents that are currently not filed electronically. These rules were first pro...

Senate Confirms Key Tax Reform Architect for Top Treasury Role
A key figure in shaping last year’s tax reform has been confirmed as the Treasury’s second-highest ranking official. The Senate confirmed Justin Muzinich as deputy Treasury secretary on De...

TIGTA Presents Semiannual Report to Congress
The Treasury Inspector General for Tax Administration (TIGTA) has released its semiannual report to Congress, highlighting its audits, investigations, inspections and evaluations. The report includes ...

Proposed Regulations Intend to Reduce FATCA Withholding Compliance Burden
Proposed regulations address and intend to reduce taxpayer burden in complying with certain withholding requirements under the Foreign Account Tax Compliance Act (FATCA), Chapter 4 ( Code Secs. 1471 -...

Regulations to be Issued on Controlled Foreign Corporations’ Previously Taxed Earnings and Profits
The IRS and the Treasury intend to provide regulations that will address issues affecting foreign corporations with previously taxed earnings and profits (PTEP). The regulations are in response to cha...

IRS Extends Filing Deadlines, Penalty Relief for Health Insurance Forms
Insurers, self-insuring employers, other coverage providers, and applicable large employers now have until March 4, 2019, to provide individuals with Forms 1095-B, Health Coverage, or Forms 1095-C, Em...

Eligibility for Allocation of Deduction for Energy Efficient Commercial Building Property Clarified
The IRS has issued a memo that sets forth guidelines for determining various factual scenarios such as whether a taxpayer may qualify as a designer of energy efficient commercial building property und...

AK - DOR adopts and files oil and gas regulations
The Alaska Department of Revenue (DOR) has adopted changes to regulations regarding the computation of a cost of capital allowance for marine vessels under the oil and gas production tax. The proposed...

AR - Assessment upheld because taxpayer underreported gross sales receipts
A taxpayer was properly issued an Arkansas personal income tax assessment that resulted from a sales tax audit, because the taxpayer failed to establish that the audit methodology or calculation used ...

CA - Procedure for appealing denial of request for abatement of interest
For corporate and personal income tax purposes, the California Franchise Tax Board (FTB) provides the procedure for appealing a denial or a partial denial of a request for abatement of interest. If a ...

CO - Colorado adopts emergency market-based sourcing regulations
Colorado has adopted temporary emergency regulations to provide guidance on 2018 legislation. The legislation implemented revised corporate income tax apportionment methods, including market-based sou...

DE - Hazardous substances cleanup tax rate for 2019 announced
The Delaware Division of Revenue has issued a news release informing businesses that the new adjustable rate of hazardous substance cleanup tax for 2019 is 1.5244%. Effective January 1, 2019, the new ...

FL - St. Lucie County adds 0.5% local government infrastructure surtax
The combined Florida state and local sales and use tax rate for St. Lucie County will be 7% effective January 1, 2019.St. Lucie County Ordinance Adopting SurtaxVoters approved a St. Lucie County Ordin...

GA - Comments sought on land value rule amendments
The Georgia DOR proposes to amend property tax Reg. §560-11-6-.09 ("Table of Conservation Use Land Values") and Reg §560-11-11-.12 ("Table of Forest Land Protection Act Land Use Values"). Th...

HI - Taxpayers advised to obtain IRS transcripts electronically
The County of Maui Department of Finance has issued a press release informing taxpayers that the federal government shut down is affecting some circuit breaker property tax credit applications. As a r...

IL - Illinois sets “part b” rates for 2019
Illinois motor fuel use tax rates are increased for 2019. The new Part B rates are:diesel fuel, 16.1¢ (formerly, 13.4¢) per gallon;gasoline, 15.2¢ per gallon (formerly, 13.4¢);liqu...

IN - County income rates adjusted
Indiana has announced county income tax rates that are effective January 1, 2019.Which Counties Increased the Rate?Counties increasing their rates include:Carroll from 0.020733 to 0.022733;Cass from 0...

IA - Iowa provides itemized deduction guidance
Iowa’s itemized deduction guidance highlights and summarizes the major differences between federal and Iowa itemized deductions. The federal Tax Cuts and Jobs Act (TCJA) made numerous changes to...

LA - State personal exemptions not affected by TCJA change
Although the Tax Cuts and Jobs Act reduced the federal personal exemption amount to zero for tax years 2018 through 2025, Louisiana's individual income tax personal exemptions remain unchanged and are...

ME - 2019 personal income tax rates discussed
The Maine revenue services issued a tax alerts discussing 2019 tax year Maine personal income tax rate. For 2019 tax year, the tax rate is unchanged; however, the income brackets have been changed.For...

MD - Shell recycling credit rule amended
A Maryland income tax rule governing the shell recycling tax credit is amended to reflect current law. The amendments as proposed and subsequently adopted can be viewed at dsd.state.md.us/MDR/452...

MS - Vaiden imposes new tax
On January 1, 2019, the city of Vaiden, Mississippi, begins imposing a tourism, parks, and recreation tax. Authorization of the levy was previously reported.Tax RateThe new tax is imposed at a rate of...

MO - Taxpayer’s purchase subject to tax because it was not farm machinery or farm equipment
A taxpayer’s purchase of sheet metal for construction of a feed barn on his land was subject to Missouri state and local sales tax because the sheet metal was not a "farm machinery" or...

NE - Nebraska issues IRC sec. 965 transition tax guidance
Nebraska has issued guidance on the treatment of foreign earnings subject to the federal IRC Sec. 965 repatriation transition tax enacted by the Tax Cuts and Jobs Act (P.L. 115-97). Under IRC Sec. 965...

NV - Regulation for retailers claiming bad debt deduction issued
The Nevada Tax Commission has issued a sales tax regulation for retailers claiming a deduction for a bad debt. The regulation provides under section 3 that a retailer is only authorized to make a clai...

NH - Electricity consumption tax repealed
The New Hampshire Department of Revenue Administration has issued a technical information release for electricity consumers, electricity providers, and tax practitioners related to the repeal of secti...

NM - Certain guaranteed payments were not taxable in New Mexico
A partner was not liable for New Mexico gross receipts tax on "guaranteed payments" from a partnership. Before the partner’s administrative hearing on his tax liability, the Taxation a...

NY - Retroactive application of empire zone program amendments did not violate taxpayer’s due process rights
For New York State corporate income tax purposes, the Division of Tax Appeals (DTA) held that a retroactive application of Empire Zone Program amendments to tax year 2009 did not violate a power compa...

NC - Motor fuels tax rate increased for 2019
The North Carolina motor fuels tax rate for gasoline, diesel, and alternative fuels is increased from 35.1 cents per gallon to 36.2 cents per gallon.When is the New Rate Applicable?The new rate applie...

OK - Direct mail sourcing form created
A new Oklahoma sales tax form, "Direct Mail Sourcing Certificate" (Form STS20002-B), has been created.Form UsageThe form is for use by direct mail purchasers who do not hold a direct pay per...

OR - Daycare property partially entitled to exemption
The Oregon Tax Court held that a daycare facility was entitled to property tax exemption on its leased property only for those parts used exclusively for educational purposes. The taxpayer, an exempt&...

PA - Notice regarding hotel occupancy tax issued for booking agents
For hotel occupancy (sales and use) tax purposes, the Pennsylvania Department of Revenue has issued a notice informing booking agents that effective January 22, 2019, a booking agent that facilitates ...

SC - Interest rate increases
Interest is 6% on South Carolina tax underpayments and refunds beginning in 2019. The rate applies through March 31, 2019.Reduced Rate on RefundsThe refund rate is 3% less because of 2018-2019 budget ...

TN - Taxpayer allowed to apportion tax liability as it was incorporated in another state
A corporate income taxpayer was entitled to apportion its Tennessee tax liability for the 2006 and 2007 tax years because the taxpayer established "substantial nexus" with another state (Flo...

TX - November 2018 certification of average closing price of gas and oil released
The Texas Comptroller of Public Accounts has determined the average taxable price of crude oil for the reporting period November 2018 is $49.28 per barrel for the three-month period beginning on Augus...

UT - Adjustment allowed to avoid double taxation of foreign business income
Taxpayers could adjust their Utah income to avoid double taxation of foreign business income. The tax court ruled in their favor on that issue, but rejected their other claim. They challenged Utah&rsq...

VA - Interest rates increased for first quarter of 2019
The Virginia interest rates for the first quarter of 2018 that begins on January 1, 2019, will be 8% for tax underpayments (assessments) and 8% for tax overpayments (refunds). For the purpose of compu...

WY - Local rate changes and other topics discussed
A Wyoming Department of Revenue newsletter discusses present and future local sales tax rate changes and provides various reminders for taxpayers.Tax Rate ChangesEffective with the tax return quarter ...