William P Cook

Tax Alerts

Tax Briefing(s)

2022 Year-End Tax Planning Inflation Reduction Act of 2022, Signed Aug. 16 2022 Post-Filing Season Update SECURE Act 2.0

IRS Urges Taxpayers to Remain Vigilant for Cybercrimes and Protect their Personal Information, IR-2022-187
The IRS has urged taxpayer families, especially teens and senior citizens to remain vigilant and be mindful year-round for potential dangers in sharing devices at home, shopping online and using soc...

Taxpayers Who Haven't Filed 2021 Returns May Be Eligible for Valuable Credits, IR-2022-178
The IRS has sent reminder letters to encourage over 9 million taxpayers and families who are potentially eligible for expanded tax benefits, but haven’t yet filed a 2021 return, to review these valu...

IRS Warns Taxpayers To Be Aware Of Their Eligibility For Employee Retention Credit Claims, IR-2022-183
The IRS has warned employers to be wary of third parties who are taking improper positions related to taxpayer eligibility for and computation of the Employee Retention Credit (ERC) are advising them ...

IRS Informs Taxpayers that Tip Income is Taxable and Must be Reported, FS-2022-37
The IRS has informed taxpayers who work in restaurants, salons, hotels and similar industries that tips can be taxable income. There are four factors determine whether a payment qualifies as a tip. Th...

IRS Reminds Taxpayers To Estimate Their Tax Withholding And Not Rely On Refunds Alone, IR-2022-186
The IRS has urged taxpayers to review their tax withholding to avoid any big surprises, such as a big refund or a balance due, during the tax time in 2023 and avail benefits from any changes arising d...

IRS Revises Initial Contact Letters for Ease Of Understanding, IR-2022-170
The IRS has revised its initial contact letters to improve its interactions with taxpayers. The initial contact letters are issued by the IRS, inviting the taxpayer or their representative to a confer...

IRS Extends Some Low-Income Housing Credit Deadlines, Notice 2022-52
The IRS extended several deadlines related to the low-income housing credit, in response to unavoidable labor and supply-chain disruptions delaying the construction, rehabilitation, and restoration of...

AK - Interest rates announced for q4 of 2022
The Alaska interest rate for delinquent taxes and overpayment of taxes is set at 8.5%, compounded quarterly, for the period beginning October 1, 2022. The Department of Revenue posting can be viewed o...

AR - Nonprofit Group Did Not Qualify for Church or Charitable Organization Exemption
A nonprofit group (taxpayer) did not qualify for an exemption from Arkansas sales and use tax as a church or a charitable organization because the taxpayer was an auxiliary organization and did not fa...

CA - Voters reject tax on rich to fund EV programs and prevent wildfires
California voters at the November 8, 2022 general election rejected a measure (Proposition 30) that would have would created a 1.75% surtax on personal income above $2 million. Revenue collected from ...

CO - Voters approve income tax rate cut
Colorado voters at the November 8, 2022 general election approved a measure (Proposition 121) that cuts the statutory income tax rate from 4.55% to 4.4%, effective beginning in tax year 2022. Proposit...

DE - Hazardous substances cleanup tax rate for 2023 announced
Delaware has announced that the hazardous substance cleanup tax rate for 2023 is 0.8389%. The new tax rate goes into effect on January 1, 2023, and applies to the taxable gross receipts from the sale ...

FL - Voters reject two statewide ballot measures regarding property taxes
Voters rejected two constitutional amendments referred by the Florida Legislature to the 2022 ballot for property tax purposes. Amendments in Florida require a 60% supermajority vote of approval to pa...

GA - 2023 employer's withholding tax guide
The Georgia Department of Revenue (department) issued updated employer's withholding tax guide for personal income tax withholding purposes. The guide, among other information, discusses:2023 withhold...

HI - E-filing mandate for corporate returns suspended
Hawaii has suspended the electronic filing mandate for Form N-30, Corporation Income Tax Return. However, the Department of Taxation still prefers that Form N-30 be filed electronically when possible....

IL - County assessor’s property characteristic records mistakes warranted vacating tax sales
For Illinois property tax purposes, the appellate court found that the circuit court properly vacated the tax sales because the county assessor’s mistakes in identifying whether the two subject prop...

IN - Bulletin on taxability of advertising signs and billboards revised
Indiana revised an information bulletin regarding the applicability of sales and use tax to advertising signs and billboards. The bulletin includes a reference to Sales Tax Information Bulletin #42, c...

IA - Interest rates to increase in 2023
Interest on delinquent taxes administered by the Iowa Department of Revenue is assessed from the original due date of the return to the date of payment of the tax. The annual rate is applied in calcul...

LA - Premium tax credits are not payments of tax
Louisiana investment credits, allowed against the insurance premium tax, do not constitute a payment of the premium tax, and thus are not allowed as a credit against the Louisiana income tax.What cred...

ME - Paper mill's tax abatement request was correctly denied
For Maine property tax purposes, the Supreme Court affirmed the superior court’s decision affirming the State Board of Property Tax Review’s (Review Board’s) denial of a paper mill’s tax abate...

MD - City council of Baltimore properly charged deed review fee
The City Council of Baltimore (the City) properly charged tax sale purchasers a deed review fee for Maryland property tax purposes.Generally, tax sale purchasers are entitled to have the deed to the p...

MS - Raleigh levies 2% restaurant tax
On May 3, 2022, the Mayor and the Board of Aldermen of the Town of Raleigh, Mississippi, adopted, by resolution, their intent to levy a 2% tax on sales of prepared food and beverages at restaurants wi...

MO - Voters approve amendment to legalize and tax recreational marijuana
According to unofficial results, Missouri voters approved a constitutional amendment that:legalizes recreational marijuana for adults aged 21 and over; andimposes a 6% marijuana tax on the retail pric...

NE - Taxability of motor vehicle services explained
The Nebraska Department of Revenue has provided guidance on the application of sales and use tax to motor vehicle services.Installation of AccessoriesThe gross receipts from selling and installing acc...

NV - Sales tax holiday dates for Nevada national guard announced
The dates for the sales tax holiday for Nevada National Guard members are announced.When is the Sales Tax Holiday?Sales tax exempt purchases may be made on the day Nevada Day is observed, and the Satu...

NH - Information on Expanded Eligibility for Veterans’ Property Tax Credits Discussed
New Hampshire has issued an updated technical information release on a statutory change to property tax credits for veterans. The New Hampshire Legislature passed House Bill 1667 (H.B. 1667), amending...

NM - Guidance Issued for Lodging, Vacation Rentals Gross Receipts Tax
The New Mexico Taxation and Revenue Department has issued a new publication, Tax Bulletin 200.37, providing gross receipts tax guidance for companies that facilitate lodgings, accommodations and vacat...

NY - Applications open for digital game development credit program
New York announced that initial applications are open for the digital game development tax credit program, which was enacted in the 2022-23 state budget. Application information can be found on the Em...

NC - Student loan forgiveness considered taxable income
North Carolina Department of Revenue clarified that student loan forgiveness excluded under the applicable federal law, IRC 108(f)(5), is currently considered taxable income in North Carolina, for per...

OK - Production tax credits were intangible personal property exempt from tax
For property tax purposes, the Oklahoma Supreme Court determined that Production Tax Credits (PTCs) utilized to finance the building of a wind farm cannot be used to determine the fair cash value of t...

OR - Metro Adopts Market-Based Apportionment
The Tri-County Metropolitan District High Earners, Business Profits tax will adopt several of the same provisions as used for Oregon income tax purposes beginning after December 31, 2022. Specifically...

PA - Net Operating Loss Carryforward Period Extended to 20 Years
City of Philadelphia based businesses can now forward net operating losses incurred in 2022 and thereafter to 20 future years, for Pennsylvania corporate income tax purposes. If a business pays the Ci...

SC - Non-opiod Pain Medication Was Exempt as Injectable Medication
A pain medication that used an X matrix system to chemically force (i.e., inject) the active ingredient into nerve fibers in the dermis, qualified for South Carolina's sales tax exemption for injectab...

TN - Lewis County local rate change announced
Effective November 1, 2022, the Tennessee local sales and use tax rate in Lewis County is increased to 2.75%. Lewis County voters approved the increase on August 4, 2022.Application of New Tax RateThe...

TX - Transportation businesses not exempt from Texas franchise tax
A Texas Court of Appeals held that a transportation company was not exempt from the Texas franchise tax. The transportation company argued that it was exempt from the Texas franchise tax under a provi...

UT - Publication Discussing Interest and Penalties Issued
For Utah corporate income, personal income, and sales and use tax purposes, the State Tax Commission (commission) issued an updated publication discussing interest and penalties. The interest rate on ...

VA - Guidelines on taxability of sales of accommodations facilitated by intermediaries issued
Virginia has issued guidelines related to previously enacted legislation that changes the application of retail sales and use and transient occupancy taxes to sales of accommodations facilitated by ac...

WY - Local rate changes announced
Wyoming has announced the following local sales and use tax rate changes:Beginning April 1, 2022, the rate in Laramie County increases to 6%.Beginning July 1, 2022, the rate in Johnson County decrease...