William P Cook

Tax Alerts

Tax Briefing(s)

2022 Tax Year-In-Review Consolidated Appropriations Act, 2023 Inflation Reduction Act of 2022, Signed Aug. 16

Inflation Reduction Act Triggers Numerous Tax Form Changes
The passage of the Inflation Reduction Act in 2022 has triggered changes to many tax forms, tax form instructions, and other publications prior to the start of the 2023 tax filing season.According to ...

IRS Reminds Taxpayers to Check Tax Withholding Now to Avoid Paying Future Quarterly Estimated Payments, FS-2023-1; IR-2023-10
The IRS reminded taxpayers who earn wages to use the Tax Withholding Estimator tool to adjust their 2023 withholding. Checking now and making necessary adjustments early in the year may help taxpaye...

2023 Standard Mileage Rates Released, Notice 2023-3
The IRS released the optional standard mileage rates for 2023. Most taxpayers may use these rates to compute deductible costs of operating vehicles for business, medical, and charitable purposes. Some...

FAQs Released on Energy Efficient Home Improvements and Residential Clean Energy Property Credits, FS-2022-40
The IRS has released frequently asked questions (FAQs) about energy efficient home improvements and residential clean energy property credits. The Inflation Reduction Act of 2022 (IRA) amended the cre...

IRS, DOL Renew Employee Misclassification Memorandum of Understanding
The Internal Revenue Service and the U.S. Department of Labor announced they have renewed a memorandum of understanding (MOU) under which the two agencies will continue to work together to combat empl...

Transitional Guidance on Broker Digital Asset Reporting Provided, Announcement 2023-2
The Treasury Department and IRS have announced that brokers are not required to report additional information with respect to dispositions of digital assets until final regulations are issued under C...

IRS Completes Final Corrections on 2020 Unemployment Compensation Tax Payments, IR-2023-2
The IRS recently completed the final corrections of tax year 2020 accounts for taxpayers who overpaid their taxes on unemployment compensation received in 2020. This resulted in nearly 12 million ...

AK - Interest rates announced for Q1 of 2023
The Alaska interest rate for delinquent taxes and overpayment of taxes is set at 9.75%, compounded quarterly, for the period beginning January 1, 2023. The Department of Revenue posting can be viewed ...

AR - Purchase of decals did not qualify for sale-for-resale exemption
A commercial ice machine cleaner’s (taxpayer’s) purchase of decals from its vendor did not qualify for the sale-for-resale exemption from Arkansas sales and use tax, because the taxpayer was not r...

CA - Guidance on foster youth tax credit issued
California has issued guidance on the Foster Youth Tax Credit (FYTC), which provides up to $1,083 per eligible individual or up to $2,166 if both the primary taxpayer and spouse/RDP qualify, for tax y...

CO - Rules regarding return filing and payment adopted
Colorado recently adopted the following three rules regarding return filing and payment:Rule 39-21-119 removing certain provisions regarding electronic filing and payment;Rule 39-21-119.5 clarifying r...

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 - Additional guidance issued on tax relief for property made uninhabitable by Hurricanes Ian or Nicole
The Florida Department of Revenue has issued additional guidance regarding property tax relief for residential properties rendered uninhabitable for 30 days or more due to Hurricanes Ian or Nicole. Th...

GA - PTE tax FAQ's released
Georgia has released pass-through entity (PTE) tax frequently asked questions (FAQs). For taxable years beginning on or after January 1, 2022, S-Corporations and Partnerships may annually make an irre...

HI - Governor proposes tax relief in state of the state address
In his State of the State address, Hawaii Gov. Josh Green proposed:shifting income tax brackets to ensure that working families are not burdened by inflation;more than doubling the standard deduction ...

IL - Forms W-2, W-2c, W-2G, and 1099 filing and storage requirements updated
Illinois updated its personal income tax withholding publication on Forms W-2, W-2c, W-2G, and 1099 filing and storage requirements, including 1099-K electronic filing requirements, for employers and ...

IN - February 2023 gasoline use tax rate announced
The Indiana gasoline use tax rate for the month of February 2023 is $0.172 per gallon. Departmental Notice #2, Indiana Department of Revenue, February 2023...

IA - Taxpayer's petition for declaratory order denied
Iowa personal income taxpayers’ petition, challenging the Department of Revenue’s denial of their claim for a capital gain deduction with respect to the sale of a building, was properly dismissed ...

LA - Petition properly denied as untimely
A hotel operator’s (taxpayer’s) petition to recover Louisiana sales and use taxes paid under protest was properly dismissed because it was untimely filed. In this matter, the Department of Revenue...

ME - Employment tax increment financing rule amended
The Maine Department of Economic and Community Development has amended the rule regarding the Employment Tax Increment Financing incentive. This law reimburses employers who create qualified new jobs ...

MD - 2023 local income tax rates released
Maryland issued 2023 local income tax rates.Generally, Maryland's 23 counties and Baltimore City levy a local income tax which the Comptroller of Maryland collect on the state income tax return as a c...

MS - Technical guidance provided for railroad credit
The Mississippi Department of Revenue issued a notice providing guidance regarding the credit effective January 1, 2022 for qualified railroad reconstruction, replacement, or new rail infrastructure e...

MO - Governor proposes child care tax credits in state of the state address
In his 2023 State of the State Address, Missouri Gov. Mike Parson proposed three new child care tax credit programs:a child care contribution tax credit, to encourage contributions to child care provi...

NE - Governor highlights rate reduction bill
Nebraska Gov. Jim Pillen issued a press release highlighting 2023 tax bills, including a proposal to reduce the top personal income tax rate from 6.64% to 5.84% beginning with the 2023 tax year. Under...

NV - Regulations related to tax treatment of repair work performed for state adopted
Nevada revised its regulations governing the imposition and collection of sales and use tax for repair work performed pursuant to a contract with the state or its political subdivision.The revised reg...

NH - 2023 business profits tax and business enterprise tax filing threshold adjustment issued
For corporate income tax purposes, New Hampshire issued a technical information release discussing statutorily required adjustment to the Business Profits Tax (BPT) and Business Enterprise Tax (BET) f...

NM - Governor calls for tax reform
New Mexico Gov. Michelle Lujan Grisham gave her fifth State of the State Address, and laid out her legislative priorities for the 2023 legislative session. In addition to priorities such as education,...

NY - Exception to ALJ determination denied as untimely
A New York State taxpayer’s exception to an Administrative Law Judge’s (ALJ) personal income tax determination was dismissed because it was untimely filed. In this matter, the Division of Tax Appe...

NC - Update on 2022 business income filing season issued
The North Carolina Department of Revenue has issued a bulletin informing corporate income and franchise, partnership, and estates and trusts filers that the department will not begin processing electr...

OK - Governor discusses plans to reduce taxes
In his second inaugural address, Oklahoma Gov. Stitt highlights his plans for reducing taxes over the next four years. Among other topics, the address highlighted Gov. Stitt's plan to reduce spending ...

OR - Appeal dismissed for failure to establish payment of assessment would cause undue hardship
The Oregon Tax Court properly dismissed an appeal filed by personal income taxpayers because the taxpayers failed to pay the assessed tax or show that doing so would constitute an undue hardship. In t...

PA - Rebate program applications now available
Application forms for the Pennsylvania Department of Revenue (DOR) Property Tax/Rent Rebate Program are now available for eligible residents to begin claiming on property taxes or rent paid in 2022. P...

SC - Reminder issued on Hurricane Ian extensions
South Carolina issued a reminder that extension filers who were granted relief because of Hurricane Ian have until February 15, 2023, to file their 2021 tax year individual income tax returns.Further,...

TN - Trial court’s dismissal of motion to redeem for lack of standing affirmed
For Tennessee property tax purposes, the trial court’s decision granting the tax sale purchaser’s motion to strike the attempt at redemption for lack of standing was affirmed because the managing ...

TX - No amendment of out-of-statute reports to create R&D credit
The Texas Comptroller stated in a policy letter that a taxpayer may not amend a Texas franchise tax report for which the limitations period for filing a refund claim has expired to create a research a...

UT - Taxpayers failed to identify basis to waive interest
The Utah State Tax Commission denied personal income taxpayers’ request for a waiver of a portion of interest arising from an amended notice of deficiency because the taxpayers did not identify any ...

VA - Application of tax to assets for which taxpayer received rebates discussed
The Virginia Department of Taxation has determined that a business may reduce the taxable cost basis of assets subject to business tangible personal property (BTPP) tax by rebates received from a manu...

WY - Assessment on purchase of fracking and water transportation services affirmed in part
The Wyoming State Board of Equalization (board) affirmed the Department of Revenue’s (department’s) assessment of sales tax on a taxpayer’s purchase of fracking services, but it reversed the ass...