Federal

  • September 20, 2024

    IRS Corrects Proposed Clean Electricity Bonus Credit Regs

    The Internal Revenue Service issued corrections Friday to proposed regulations that would broaden the types of power facilities that could be eligible for clean electricity low-income community bonus credit amounts starting in 2025.

  • September 20, 2024

    Weekly Internal Revenue Bulletin

    The Internal Revenue Service's weekly bulletin, issued Friday, included proposed regulations that would adjust the timing for when companies could opt to use the so-called mark-to-market accounting method for gains or losses that arise from foreign currency transactions.

  • September 19, 2024

    Ch. 7 Trustee Urges Justices To Uphold Return Of Taxes

    The bankruptcy trustee of a defunct Utah transportation company warned the U.S. Supreme Court on Thursday that overturning a decision forcing the IRS to return tax payments made by company directors to cover their personal debts would encourage shareholder fraud.

  • September 19, 2024

    Convicted Drexel Professor Won't Get New Tax Evasion Trial

    A Drexel University accounting professor was denied a new trial after being convicted on tax evasion charges for failing to report $3.3 million in income from a Trenton pharmacy, a New Jersey federal judge has ruled, reasoning that the professor's case was not prejudiced by keeping accounting records related to his tax returns from the jury.

  • September 19, 2024

    House Bill Proposes Tax Incentives For Military Housing

    A bill introduced in the U.S. House of Representatives would seek to increase the availability and affordability of housing for service members in part by excluding the military's basic housing allowance from the income calculation for the low-income housing tax credit.

  • September 19, 2024

    Calif. Says FDIC's $20M Tax Refund Bid Must Wait

    A California tax collection agency asked a New York federal court to throw out Federal Deposit Insurance Corp. claims seeking a more than $20 million tax refund on behalf of the shuttered Signature Bank, saying the agency is entitled to wait for a potential IRS audit to end. 

  • September 19, 2024

    Death Doesn't Preclude FBAR Penalties, Judge Says

    The death of a U.S. citizen who failed to file reports of foreign bank and financial accounts doesn't stop the U.S. government from enforcing penalties against his estate, a New York federal judge ruled.

  • September 19, 2024

    Senate Tees Up Vote On Tax Court Nominee

    The U.S. Senate set the stage Thursday to proceed with a vote on one of President Joe Biden's picks to fill an open seat on the U.S. Tax Court.

  • September 19, 2024

    GAO Says IRS Can Be Better Prepped For Reporting Changes

    While the Internal Revenue Service could collect billions thanks to recent reporting requirement changes, particularly those related to cryptocurrency, the agency needs to take further steps to be prepared for the changes, the Government Accountability Office said Thursday.

  • September 19, 2024

    H&R Block Again Asks 8th Circ. To Remove ALJs In Ad Suit

    H&R Block asked the Eighth Circuit to reconsider its denial of the company's request to stop administrative law judges from presiding over its coming false-advertising hearing before the Federal Trade Commission, saying the court's one-sentence ruling lacked any explanation despite the significant constitutional issues involved.

  • September 19, 2024

    IRS Warns Taxpayers Of Offer-In-Compromise 'Mills'

    The IRS urged taxpayers to be careful about working with promoters that claim to provide necessary services in order to comply with the agency's offer-in-compromise program, saying Thursday that these "mills" only bring "empty promises and steep costs."

  • September 18, 2024

    Tax Chiefs Eye Crypto Payment Cos., OTC Traders, IRS Says

    Tax investigators in the U.S., U.K., Canada, Australia and the Netherlands are preparing guidance on red flags for cryptocurrency payment providers and over-the-counter trading desks following a joint operation this week, a special agent with the Internal Revenue Service said Wednesday.

  • September 18, 2024

    IRS Publishes Guidance For Issuers Of Tax-Exempt Bonds

    The Internal Revenue Service published guidance Wednesday for issuers of tax-exempt and other tax-advantaged bonds in terms of procedures for filing claims for recovery of overpayments of rebate payments and other processes.

  • September 18, 2024

    Dems Block Bill Targeting Foreign Funding Of Campaign Gifts

    Democrats blocked the House of Representatives from sending legislation to the Senate that would restrict contributions to political committees by tax-exempt entities that receive foreign funds.

  • September 18, 2024

    Tax Court Wrongly Denied Premium Deduction, 5th Circ. Told

    A Texas couple asked the Fifth Circuit on Wednesday to reverse a U.S. Tax Court decision denying their bid to deduct more than $1 million in premiums paid to insurance companies they owned, arguing the Tax Court misclassified underlying insurance arrangements.

  • September 18, 2024

    IRS On Track With Updated Tool, But Some Risk Remains

    While the IRS' project modernizing its individual tax processing engine met its performance goals ahead of the updated system's planned 2025 rollout, the ending of a process for solving issues between the new and old systems creates greater risk, the Treasury Inspector General for Tax Administration said Wednesday.

  • September 18, 2024

    Jury Finds Eatery Owner Guilty Of COVID Fraud, Tax Crimes

    A San Diego restaurant owner who worked with food delivery services during the pandemic and saw his business improve was convicted by a California federal jury of tax crimes and lying on loan applications to obtain more than $1.7 million in COVID-19 funds meant for struggling businesses.

  • September 18, 2024

    House GOP Vows Blowback Over OECD's Min. Tax Backstop

    House Republicans again warned the OECD that Congress will retaliate against countries that implement a backstop measure to the 15% global minimum tax, saying China will cheat the system and it will cost U.S. taxpayers about $120 billion.

  • September 18, 2024

    Tips Lead To $263M IRS Settlement In Offshore Evasion Case

    Tips from three whistleblowers have led to the IRS reaching a $263 million settlement with a taxpayer in an offshore tax evasion case, concluding one of the largest-ever tax whistleblower cases, a law firm involved in the case said Wednesday.

  • September 18, 2024

    IRS Delays Deadlines For Pa. Victims Of Tropical Storm

    Taxpayers in four Pennsylvania counties will have until Feb. 3, 2025, to file individual and business tax returns and make payments after portions of the state were hit by Tropical Storm Debby, the Internal Revenue Service said Wednesday.

  • September 18, 2024

    Treasury Floats Tax Credit Regs For EV Charging Property

    The U.S. Treasury Department proposed regulations Wednesday to define which electric vehicle charging ports, hydrogen fueling stations and other infrastructure that businesses, people and tax-exempt entities can build in underserved communities to qualify for a tax credit of up to 30% of installation costs.

  • September 18, 2024

    Sidley Can't Escape Malpractice Suit In Ga. Over Tax Scheme

    A Georgia federal judge has found that Sidley Austin LLP must face its former clients' legal malpractice claims alleging they participated in a tax scheme under the firm's guidance, but threw out indemnity claims seeking reimbursement for paying the IRS $7 million over the scheme.

  • September 18, 2024

    Latham Adds A&O Shearman Energy Group Co-Lead In DC

    Latham & Watkins LLP has hired the former co-head of Allen Overy Shearman Sterling's U.S. energy, natural resources and infrastructure group to its team of transactional tax partners based in Washington, D.C., the firm announced Monday.

  • September 18, 2024

    Staffing Co. Owed $5M In Worker Retention Credits, Suit Says

    An industrial staffing company that was forced to stop holding job fairs during the pandemic claims the IRS hasn't paid it $5.1 million in federal tax credits it's owed for having continued paying employees, according to a complaint in Ohio federal court.

  • September 18, 2024

    8th Circ. Considers Chevron's End In 3M's $24M Tax Case

    The Eighth Circuit signaled it would consider an argument by 3M that the U.S. Supreme Court's overturning of Chevron deference warranted a reversal in a transfer pricing case in which 3M is challenging the IRS' reallocation of $24 million from a Brazilian affiliate.

Expert Analysis

  • What NFL Draft Picks Have In Common With Lateral Law Hires

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    Nearly half of law firm lateral hires leave within a few years — a failure rate that is strikingly similar to the performance of NFL quarterbacks drafted in the first round — in part because evaluators focus too heavily on quantifiable metrics and not enough on a prospect's character traits, says Howard Rosenberg at Baretz+Brunelle.

  • Replacing The Stigma Of Menopause With Law Firm Support

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    A large proportion of the workforce is forced to pull the brakes on their career aspirations because of the taboo surrounding menopause and a lack of consistent support, but law firms can initiate the cultural shift needed by formulating thoughtful workplace policies, says Barbara Hamilton-Bruce at Simmons & Simmons.

  • Planning Law Firm Content Calendars: What, When, Where

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    During the slower month of August, law firms should begin working on their 2025 content calendars, planning out a content creation and distribution framework that aligns with the firm’s objectives and maintains audience engagement throughout the year, says Jessica Kaplan at Legally Penned.

  • Brownfield Questions Surround IRS Tax Credit Bonus

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    Though the IRS has published guidance regarding the Inflation Reduction Act's 10% adder for tax credits generated by renewable energy projects constructed on brownfield sites, considerable guesswork remains as potential implications seem contrary to IRS intentions, say Megan Caldwell and Jon Micah Goeller at Husch Blackwell.

  • Law Firms Should Move From Reactive To Proactive Marketing

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    Most law firm marketing and business development teams operate in silos, leading to an ad hoc, reactive approach, but shifting to a culture of proactive planning — beginning with comprehensive campaigns — can help firms effectively execute their broader business strategy, says Paul Manuele at PR Manuele Consulting.

  • The Big Issues A BigLaw Associates' Union Could Address

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    A BigLaw associates’ union could address a number of issues that have the potential to meaningfully improve working conditions, diversity and attorney well-being — from restructured billable hour requirements to origination credit allocation, return-to-office mandates and more, says Tara Rhoades at The Sanity Plea.

  • It's Time For A BigLaw Associates' Union

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    As BigLaw faces a steady stream of criticism about its employment policies and practices, an associates union could effect real change — and it could start with law students organizing around opposition to recent recruiting trends, says Tara Rhoades at The Sanity Plea.

  • Why DOJ's Whistleblower Program May Have Limited Impact

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    The U.S. Department of Justice’s new whistleblower pilot program aims to incentivize individuals to report corporate misconduct, but the program's effectiveness may be undercut by its differences from other federal agencies’ whistleblower programs and its interplay with other DOJ policies, say attorneys at Milbank.

  • How Justices Upended The Administrative Procedure Act

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    In its recent Loper Bright, Corner Post and Jarkesy decisions, the U.S. Supreme Court fundamentally changed the Administrative Procedure Act in ways that undermine Congress and the executive branch, shift power to the judiciary, curtail public and business input, and create great uncertainty, say Alene Taber and Beth Hummer at Hanson Bridgett.

  • Trump's Best Hush Money Appeal Options Still Likely To Fail

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    The two strongest potential arguments former President Donald Trump could raise in appealing his New York hush money conviction seem promising at first, but precedent strongly suggests they will still ultimately fail — though, of course, Trump's unique position could lead to surprising results, says former New York Supreme Court Justice Ethan Greenberg, now at Anderson Kill.

  • Tips For Tax Equity-Tax Credit Transfers That Pass IRS Muster

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    Although the Internal Revenue Service has increased its scrutiny of complex partnership structures, which must demonstrate their economic substance and business purpose, recent cases and IRS guidance together provide a reliable road map for creating legitimate tax equity structures, say Ian Boccaccio and Michael Messina at Ryan Tax.

  • Mirror, Mirror On The Wall, Is My Counterclaim Bound To Fall?

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    A Pennsylvania federal court’s recent dismissal of the defendants’ counterclaims in Morgan v. Noss should remind attorneys to avoid the temptation to repackage a claim’s facts and law into a mirror-image counterclaim, as this approach will often result in a waste of time and resources, says Matthew Selmasska at Kaufman Dolowich.

  • 3 Leadership Practices For A More Supportive Firm Culture

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    Traditional leadership styles frequently amplify the inherent pressures of legal work, but a few simple, time-neutral strategies can strengthen the skills and confidence of employees and foster a more collaborative culture, while supporting individual growth and contribution to organizational goals, says Benjamin Grimes at BKG Leadership.

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