By Phil Karter Senator Carl Levin (D-Mich.) may have tried to take a bite out of Apple (AAPL) in congressional hearings last May examining the company’s overseas tax structure, calling it “the holy grail of tax avoidance." However, it appears that more than just Irish eyes are smiling on the company these days, for in … Continue reading Apple’s Double Irish With A Dutch Sandwich Goes Down Easy with SEC
It has been universally reported that under the newly passed American Taxpayer Relief Act of 2012, net capital gain tax rates have risen to 20% for taxpayers with taxable income greater than $400,000 for single filers and $450,000 for joint filers. To clarify this broad statement, under section 102 of the new law, the higher … Continue reading Squib Note: Clarifying the 2013 Capital Gains Rates
By Phil Karter With the looming increase in tax rates on investment income and capital gains in particular, a large number of stock market investors have been selling long-term positions to lock in the 2012 rate, which currently tops out at 15%. Come January 1,2013, gain on the same sale could be taxed at a … Continue reading Could The New Economic Substance Statute Apply To End-Of-Year Stock Sales And Repurchases?
By Jonathan Prokup Pennsylvania may soon join the other states that have challenged the use of the so-called Delaware Loophole, according to our colleagues at the State and Local Tax Blawg. The legislation, contained in Pa. House Bill 2150, would disallow deductions that a parent operating corporation claims for royalty payments made to a "Delaware … Continue reading The Economic Substance Doctrine: Coming To A State Near You?
By David Shakow Following the Supreme Court’s decision in Mayo Foundation v. United States, in which the Court ruled that tax regulations receive deference from courts under the Chevron doctrine that applies to non-tax regulations, many commentators acknowledged the decision’s anticipated impact on disputes about the validity of tax regulations. The new standard gives the … Continue reading Innocent Spouse Relief After Mayo: Congress Strikes Back?
By Jonathan Prokup Business Spectator: Stalled R&D legislation stunts innovation (Australia). As we discussed previously, temporary legislation makes for lousy tax policy, a problem that Australia seems to be experiencing right now. Forbes - Business in the Beltway: Taxes? Hold ‘Em!. It seems that the pending deal on individual taxes will include a one-year extension … Continue reading Tax Talk Around The Web
By Jonathan Prokup Recalling one of our first blawg posts, the topic of tax reform could be described in much the same terms as the codification of economic substance (prior to its codification, anyway): "a cousin of Bigfoot and the Loch Ness Monster – often spotted, but never confirmed." Reform commissions come and go with … Continue reading The Moment of Truth: Is Tax Reform Coming?