GAGNONtax Super Bowl and 2019 Tax Predictions

Bill Gagnon, President: Tax Reform will result in a second year of guidance and law changes (or lack thereof), creating even more complexity and uncertainty in the determination of state taxable income; and where there is uncertainty, there is a need for additional reserves. Further, expect a trend toward changes in entity form once individuals and small businesses have the advantage of seeing the “with and without” Tax Reform calculations associated with their 2018 earnings. ...

GAGNONtax Year-End State Tax Planning Checklist

As year-end approaches, whether that be calendar year-end or your specific fiscal year-end, actions can be taken to help reduce the effect of state income and non-income taxes on your company’s financial performance.  To that end, the GAGNONtax partners have put together a checklist to assist in identifying potential tax saving opportunities. Learn more or contact us for a consultation. ...

When Was the Last Time You Reviewed Your Indirect Tax System?

How long has it been since you implemented your current indirect tax system? A year, two years, five years (or more)?  When was the last time you did any real analysis to determine if everything is still working as designed?  Have you gone blind to issues right under your nose with the assumption that your tax system will handle everything correctly? As the ever-changing tax landscape continues to shift shape, it is crucial that you plan...

Sports Arena

Tickets, Technology & Tax Reform

Do you have season tickets to a major sports team or know anyone who does? Have you purchased tickets to a single-game sporting event recently and noticed that those big corporate boxes don’t seem as full as they used to? When it comes corporate tax considerations related to the buying, selling, and paying for event tickets, much has changed, largely due to both technology advancements and federal tax reform. Corporations have always been frequent purchasers of...

The Texas Margin Tax: Still Darn Crazy After All These Years

Did you know that if you have been doing business in Texas for over a decade, then by November 15th you will be filing your Texas franchise tax return under the “new” Margin tax regime for the eleventh time? You would think after that many years, the tax would have matured to a level of certainty where we could all feel comfortable that we aren’t missing anything. But if you look back at the guidance we’ve received, you quickly...

Public Law 86-272, We Hardly Knew Ye

"Ye're an armless, boneless, chicken-less egg You'll have to be left with a bowl out to beg Oh Johnny I hardly knew ye. . ."  You would know the tune to these lyrics to Oh Johnny I Hardly Knew Ye from its later appropriation for When Johnny Comes Marching Home Again.  In the original 1867 song penned by English music hall notable Joseph B. Geoghegan, the protagonist went off to war. There, he proceeded to lose limbs—arms, legs, and in some versions, even eyes! That...

Supreme Court of the United States Rules in Favor of South Dakota

In what is arguably the most significant state tax case in more than two decades, South Dakota v. Wayfair, Inc., the highest court in the land has ruled in favor of South Dakota, stating that states can require out-of-state retailers to charge their customers sales tax even if they don’t have a physical presence, such as a store or a warehouse, in the state. By the slimmest of margins (5 to 4) in the much-debated case, the...

Amicus Briefs: South Dakota v. Wayfair Not So Brief After All!

Rule 37.1 of the Rules of the Supreme Court of the United States declares that, “An amicus curiae brief that brings to the attention of the Court relevant matter not already brought to its attention by the parties may be of considerable help to the Court. An amicus curiae brief that does not serve this purpose burdens the Court, and its filing is not favored.” It is common to see amicus briefs when reading or researching case law. However, I thought it...

State Corporate Income Tax Effect of Federal Tax Reform

Since it was signed into law at the end of 2017, the Tax Cuts and Jobs Act of 2017 (the "Act") has sent states scrambling to interpret the various provisions, understand the revenue impact (not to mention the acronyms) and make legislative decisions and changes. Tax Cuts and Jobs Act of 2017 – At-a-Glance There has been a torrent of activity at the state level in response to the Act, and the GAGNONtax team has been busy tracking the...

Think You’re Not a Manufacturing Company? Think Again!

Deadline Approaching for 2018 Retroactive Classification in Massachusetts Like many states, Massachusetts offers significant tax benefits to corporations engaged in manufacturing. But, what is “manufacturing?” In the words of a former U.S. president, “it depends on what the meaning of the word ‘is’ is.” Or, in this case, the meaning of “manufacturing.” The window will soon close for classification as a manufacturing corporation for the 2018 calendar year. Now is the time to consider whether your company...