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2024 Year-End Tax Planning2024 Post-Election Tax Policy Update2024 Post-Filing Season UpdateInflation Reduction Act of 2022
IRS Offers Checklist of Reminders as Taxpayers Prepare to File 2024 Tax Returns, IR-2024-297
The IRS has offered a checklist of reminders for taxpayers as they prepare to file their 2024 tax returns. Following are some steps that will make tax preparation smoother for taxpayers in 2025:Create...
The IRS has offered a checklist of reminders for taxpayers as they prepare to file their 2024 tax returns. Following are some steps that will make tax preparation smoother for taxpayers in 2025:Create...
IRS Implements Measures to Prevent Refund Delays by Accepting Duplicate Dependent Returns with IP PIN, IR-2024-294
The IRS implemented measure to avoid refund delays and enhanced taxpayer protection by accepting e-filed tax returns with dependents already claimed on another return, provided an Identity Protection ...
The IRS implemented measure to avoid refund delays and enhanced taxpayer protection by accepting e-filed tax returns with dependents already claimed on another return, provided an Identity Protection ...
IRSAC Issues 2024 Annual Report with Key Recommendations for Tax Administration, IR-2024-293
The IRS Advisory Council (IRSAC) released its 2024 annual report, offering recommendations on emerging and ongoing tax administration issues. As a federal advisory committee to the IRS commissioner, ...
The IRS Advisory Council (IRSAC) released its 2024 annual report, offering recommendations on emerging and ongoing tax administration issues. As a federal advisory committee to the IRS commissioner, ...
IRS Announces Second Remedial Amendment Cycle For Code Sec. 403(b) Pre-Approved Plans, Announcement 2024-38
The IRS announced details for the second remedial amendment cycle (Cycle 2) for Code Sec. 403(b) pre-approved plans. The IRS also addressed a procedural rule that applies to all pre-approved plans a...
The IRS announced details for the second remedial amendment cycle (Cycle 2) for Code Sec. 403(b) pre-approved plans. The IRS also addressed a procedural rule that applies to all pre-approved plans a...
IRS Publishes Fiscal Year 2024 Financial Report and Receives Award for 2023 Report, IR-2024-286
The IRS has published its latest Financial Report, providing insights into the Service's current financial status and addressing key financial matters. The report emphasizes the IRS's programs, achiev...
The IRS has published its latest Financial Report, providing insights into the Service's current financial status and addressing key financial matters. The report emphasizes the IRS's programs, achiev...
IRS Allocates Unused Low-Income Housing Credits, Rev. Proc. 2024-41
The IRS has published the amounts of unused housing credit carryovers allocated to qualified states under Code Sec. 42(h)(3)(D) for calendar year 2024. The IRS allocates the national pool of unused ...
The IRS has published the amounts of unused housing credit carryovers allocated to qualified states under Code Sec. 42(h)(3)(D) for calendar year 2024. The IRS allocates the national pool of unused ...
AL - Department begins administering, collecting local taxes in the town of St. Florian
Effective December 1, 2024, the Alabama Department of Revenue begins administering and collecting the town of St. Florian’s local sales and use taxes. The first Town of St. Florian local tax return ...
Effective December 1, 2024, the Alabama Department of Revenue begins administering and collecting the town of St. Florian’s local sales and use taxes. The first Town of St. Florian local tax return ...
AK - Integrated transmission systems legislation enacted
Alaska has enacted legislation creating new energy incentives by extending tax-exempt statutes to independent power producers. An electricity generation facility or electricity storage facility that i...
Alaska has enacted legislation creating new energy incentives by extending tax-exempt statutes to independent power producers. An electricity generation facility or electricity storage facility that i...
AZ - Local rate changes announced
The Arizona Department of Revenue has announced local transaction privilege tax (TPT) rate changes.GilbertEffective January 1, 2025, Gilbert will:increase the general transaction privilege tax rate to...
The Arizona Department of Revenue has announced local transaction privilege tax (TPT) rate changes.GilbertEffective January 1, 2025, Gilbert will:increase the general transaction privilege tax rate to...
AR - Local tax rate change announced
The Barling, Arkansas, 2% local sales tax rate is rescinded effective January 1, 2025: Local Sales & Use Tax Rate Changes, Arkansas Department of Finance and Administration, October 9, 2024...
The Barling, Arkansas, 2% local sales tax rate is rescinded effective January 1, 2025: Local Sales & Use Tax Rate Changes, Arkansas Department of Finance and Administration, October 9, 2024...
CA - Extensions available for ventura employers affected by mountain fire
Employers in Ventura County who are directly affected by the Mountain Fire may request up to a two-month extension to file their state payroll reports and/or deposit payroll taxes without penalty or i...
Employers in Ventura County who are directly affected by the Mountain Fire may request up to a two-month extension to file their state payroll reports and/or deposit payroll taxes without penalty or i...
CO - Voters approve expansion of exemption for veterans with a disability
Colorado voters at the November 5, 2024 general election approved a constitutional amendment to expand eligibility for the property tax exemption for veterans with a disability to include veterans who...
Colorado voters at the November 5, 2024 general election approved a constitutional amendment to expand eligibility for the property tax exemption for veterans with a disability to include veterans who...
CT - Change in withholding requirements for nonpayroll amounts
Effective January 1, 2025, payers of nonpayroll amounts are no longer required to withhold Connecticut personal income tax from certain retirement income distributions. Payers of nonpayroll amounts ar...
Effective January 1, 2025, payers of nonpayroll amounts are no longer required to withhold Connecticut personal income tax from certain retirement income distributions. Payers of nonpayroll amounts ar...
DE - Short-term rental tax and license fee enacted
Delaware enacted legislation that imposes:a $25 license fee; anda 4.5% lodging tax on businesses or individuals who facilitate or arrange short-term rentals through a website or other method.The tax...
Delaware enacted legislation that imposes:a $25 license fee; anda 4.5% lodging tax on businesses or individuals who facilitate or arrange short-term rentals through a website or other method.The tax...
DC - Landscape architect services exempted from sales tax
The District of Columbia has exempted landscape architecture services performed by a licensed landscape architect in the District, or by a professional design firm employing a landscape architect, fro...
The District of Columbia has exempted landscape architecture services performed by a licensed landscape architect in the District, or by a professional design firm employing a landscape architect, fro...
FL - Guidance issued on approval of constitutional amendment 5, annual inflation adjustment to homestead exemption value
Amendment 5 was approved by Florida voters in the November 5, 2024, general election for property tax purposes.This amendment:changes section 6 of Article VII, and creates a new section in Article XII...
Amendment 5 was approved by Florida voters in the November 5, 2024, general election for property tax purposes.This amendment:changes section 6 of Article VII, and creates a new section in Article XII...
GA - Local Rate Changes Announced for Q1
A Georgia county has a sales and use tax rate change for first quarter. Clay County's sales tax rate will be 8% effective January 1, 2025. Important Bulletins - County Tax Rate Changes, Georgia Depar...
A Georgia county has a sales and use tax rate change for first quarter. Clay County's sales tax rate will be 8% effective January 1, 2025. Important Bulletins - County Tax Rate Changes, Georgia Depar...
HI - Tax appeal court acted outside its jurisdiction increasing taxpayers' tax liability
The Hawaii Tax Appeal Court acted outside its jurisdiction increasing taxpayers' income tax liability to more than the amount in the Department of Taxation's notice of final assessment. The taxpayers ...
The Hawaii Tax Appeal Court acted outside its jurisdiction increasing taxpayers' income tax liability to more than the amount in the Department of Taxation's notice of final assessment. The taxpayers ...
ID - Disabled veterans are eligible to apply for property tax benefit; deadline is April 15
The Idaho State Tax Commission has issued a release announcing that veterans with disabilities are eligible to have their property tax bill reduced by as much as $1,500 on their Idaho residence and up...
The Idaho State Tax Commission has issued a release announcing that veterans with disabilities are eligible to have their property tax bill reduced by as much as $1,500 on their Idaho residence and up...
IL - Guidance on retailers' discount cap for vehicle dealers issued
Illinois issued guidance discussing the cap on the retailers' discount for motor vehicle dealers who file sales and use tax returns and pay tax liability on or before the due date. A $1,000 monthly ca...
Illinois issued guidance discussing the cap on the retailers' discount for motor vehicle dealers who file sales and use tax returns and pay tax liability on or before the due date. A $1,000 monthly ca...
IN - Updated guidance issued on mandate to file a composite return
Updated guidance is issued on the S corporation, trust, and partnership mandate to file a composite return on behalf of nonresident shareholders and partners for Indiana corporate income tax purposes....
Updated guidance is issued on the S corporation, trust, and partnership mandate to file a composite return on behalf of nonresident shareholders and partners for Indiana corporate income tax purposes....
IA - 2025 individual income tax rate announced
The Iowa Department of Revenue announced the 2025 tax year individual income tax rate. Since the enactment of Iowa S.F. 2442 in May, 2024, Iowa law provides for a flat tax rate of 3.8 percent for all ...
The Iowa Department of Revenue announced the 2025 tax year individual income tax rate. Since the enactment of Iowa S.F. 2442 in May, 2024, Iowa law provides for a flat tax rate of 3.8 percent for all ...
KS - Local rate information updated
Kansas posted local sales and use rate updates for:the cities of Altoona, Derby, and Strong City;Kearny, Logan, and Rawlins counties; andthe new community improvement districts of Andover Red Bud Trai...
Kansas posted local sales and use rate updates for:the cities of Altoona, Derby, and Strong City;Kearny, Logan, and Rawlins counties; andthe new community improvement districts of Andover Red Bud Trai...
KY - 2025 interest rates announced
Kentucky announced interest rate changes for the underpayment and overpayment of corporate income tax, personal income tax, sales and use tax, and all other taxes, effective January 1, 2025. The inter...
Kentucky announced interest rate changes for the underpayment and overpayment of corporate income tax, personal income tax, sales and use tax, and all other taxes, effective January 1, 2025. The inter...
LA - Details of proposed tax reform package released
The Louisiana Department of Revenue has released information on Governor Jeff Landry's comprehensive tax reform proposals to be addressed in the upcoming special session of the legislature.The special...
The Louisiana Department of Revenue has released information on Governor Jeff Landry's comprehensive tax reform proposals to be addressed in the upcoming special session of the legislature.The special...
ME - Certain services exempt from provider tax in 2025
Maine Revenue Services reminders taxpayer that starting in 2025, the following services are exempt from service provider tax:private nonmedical institution services;community support services for pers...
Maine Revenue Services reminders taxpayer that starting in 2025, the following services are exempt from service provider tax:private nonmedical institution services;community support services for pers...
MD - Tax court could not decide foreign income exclusion since refund had been made
Despite confusion as to whether Maryland taxpayers may claim the Foreign Earned Income Exclusion on personal income tax returns, the Maryland Tax Court could not decide the issue in this case because ...
Despite confusion as to whether Maryland taxpayers may claim the Foreign Earned Income Exclusion on personal income tax returns, the Maryland Tax Court could not decide the issue in this case because ...
MA - Changes to child and dependent care credit qualification and estate tax calculations explained
Massachusetts issued guidance explaining tax changes contained in the 2024 supplemental budget legislation including:clarification on the noncustodial parent's ability to claim the child and family ta...
Massachusetts issued guidance explaining tax changes contained in the 2024 supplemental budget legislation including:clarification on the noncustodial parent's ability to claim the child and family ta...
MI - Credit for live organ donation expenses authorized
For tax years beginning after January 1, 2025, Michigan has authorized a one-time personal income tax credit for unreimbursed live organ donation expenses incurred during the tax year or $10,000, whic...
For tax years beginning after January 1, 2025, Michigan has authorized a one-time personal income tax credit for unreimbursed live organ donation expenses incurred during the tax year or $10,000, whic...
MN - Taxpayer’s notice of appeal dismissed for lack of jurisdiction
For Minnesota personal income tax purposes, the taxpayer’s failure to timely file a notice of appeal deprived the tax court of subject matter jurisdiction. The taxpayer sought to appeal four Commiss...
For Minnesota personal income tax purposes, the taxpayer’s failure to timely file a notice of appeal deprived the tax court of subject matter jurisdiction. The taxpayer sought to appeal four Commiss...
MS - Disaster relief for taxpayers explained
Massachusetts updated guidance that explains tax relief resulting from a federal disaster declaration for areas in the state, including automatic return filing and payment extensions for:personal inco...
Massachusetts updated guidance that explains tax relief resulting from a federal disaster declaration for areas in the state, including automatic return filing and payment extensions for:personal inco...
MO - Multiple local governments in the same jurisdiction cannot impose taxes on marijuana dispensaries
The Court of Appeals reversed the decision of the circuit court because only one local government entity can impose marijuana sales taxes on dispensaries under Missouri’s constitution. In this case,...
The Court of Appeals reversed the decision of the circuit court because only one local government entity can impose marijuana sales taxes on dispensaries under Missouri’s constitution. In this case,...
MT - Budget proposal includes income tax cuts, property tax reduction
Montana Gov. Greg Gianforte announced his budget plan for the next biennium. The governor’s budget proposal includes:an income tax cut, reducing the income tax rate most Montanans pay from 5.9% to 4...
Montana Gov. Greg Gianforte announced his budget plan for the next biennium. The governor’s budget proposal includes:an income tax cut, reducing the income tax rate most Montanans pay from 5.9% to 4...
NE - Guidance on employers' withholding tax responsibilities updated
The Nebraska Department of Revenue updated guidance on personal income tax withholding from wages, pensions and annuities, and gambling winnings. Specifically, the guidance explains the responsibiliti...
The Nebraska Department of Revenue updated guidance on personal income tax withholding from wages, pensions and annuities, and gambling winnings. Specifically, the guidance explains the responsibiliti...
NV - Exemption for diapers approved by voters
Nevada voters have approved Ballot Question 5, a sales and use tax exemption for child and adult diapers. The exemption is set to take effect January 1, 2025. State Ballot Question No. 5, Nevada Secr...
Nevada voters have approved Ballot Question 5, a sales and use tax exemption for child and adult diapers. The exemption is set to take effect January 1, 2025. State Ballot Question No. 5, Nevada Secr...
NH - Meals and rentals tax regulations amended, renumbered
The New Hampshire Department of Revenue Administration has amended, renumbered, and readopted regulations concering meals, catering, and food products: hotels and accomodations; services; and procedur...
The New Hampshire Department of Revenue Administration has amended, renumbered, and readopted regulations concering meals, catering, and food products: hotels and accomodations; services; and procedur...
NJ - Guidance for cannabis establishments updated
New Jersey has revised a technical bulletin discussing the sales and use tax treatment of recreational cannabis and licensed cannabis establishments. The bulletin was updated to add:a definition of "...
New Jersey has revised a technical bulletin discussing the sales and use tax treatment of recreational cannabis and licensed cannabis establishments. The bulletin was updated to add:a definition of "...
NM - Extensions available for flood-affected taxpayers
New Mexico's Taxation and Revenue Department has announced that it will grant filing extensions to taxpayers in Chaves County who have been affected by recent flooding. Taxpayers who live in or own bu...
New Mexico's Taxation and Revenue Department has announced that it will grant filing extensions to taxpayers in Chaves County who have been affected by recent flooding. Taxpayers who live in or own bu...
NY - Severance payment received by nonresident individual was taxable as state source income
A severance payment paid to a nonresident individual (taxpayer) employed by a New York corporation, in connection with the termination of her employment was New York source income subject to personal ...
A severance payment paid to a nonresident individual (taxpayer) employed by a New York corporation, in connection with the termination of her employment was New York source income subject to personal ...
NC - Taxpayer’s petition barred by state’s sovereign immunity
A taxpayer’s petition challenging a North Carolina sales and use tax assessment was barred by the doctrine of sovereign immunity because the petition was untimely filed. In this matter, the taxpayer...
A taxpayer’s petition challenging a North Carolina sales and use tax assessment was barred by the doctrine of sovereign immunity because the petition was untimely filed. In this matter, the taxpayer...
ND - Local tax changes announced for upcoming year
North Dakota local tax changes effective from January 1, 2025, have been announced for several cities. The City of Ashley will increase its sales, use, and gross receipts tax to 2%, while Mandan's tax...
North Dakota local tax changes effective from January 1, 2025, have been announced for several cities. The City of Ashley will increase its sales, use, and gross receipts tax to 2%, while Mandan's tax...
OH - 2024 fourth quarter PAT average wholesale prices released
Ohio has released the petroleum activity tax (PAT) statewide average wholesale prices for the fourth quarter of 2024.The average prices per gallon for the third quarter are:$2.365 for unleaded regular...
Ohio has released the petroleum activity tax (PAT) statewide average wholesale prices for the fourth quarter of 2024.The average prices per gallon for the third quarter are:$2.365 for unleaded regular...
OK - Local tax rate changes announced
Oklahoma local sales and use tax rate changes have been announced effective January 1, 2025.Alva increases its lodging rate from 5% to 8%.Coyle imposes a new use tax at a rate of 3%.Pond Creek decreas...
Oklahoma local sales and use tax rate changes have been announced effective January 1, 2025.Alva increases its lodging rate from 5% to 8%.Coyle imposes a new use tax at a rate of 3%.Pond Creek decreas...
OR - Repatriation amount included in sales factor
The Oregon tax court has concluded that deemed dividends arising under Subpart F of IRC Sec. 951 through IRC Sec. 965 must be reincluded in the sales factor for a corporation excise (corporate) taxpay...
The Oregon tax court has concluded that deemed dividends arising under Subpart F of IRC Sec. 951 through IRC Sec. 965 must be reincluded in the sales factor for a corporation excise (corporate) taxpay...
PA - Medical cannabis business deduction clarified
Pennsylvania has clarified the corporate income tax deduction for ordinary and necessary business expenses allowed to medical cannabis businesses. The deduction now specifically includes an entity tha...
Pennsylvania has clarified the corporate income tax deduction for ordinary and necessary business expenses allowed to medical cannabis businesses. The deduction now specifically includes an entity tha...
RI - Interest rates for 2025 released
For calendar year 2025, the interest rate on delinquent Rhode Island trust fund tax payments remains at 18%, the rate on other types of delinquent tax payments remains at 12%, and the rate on overpaym...
For calendar year 2025, the interest rate on delinquent Rhode Island trust fund tax payments remains at 18%, the rate on other types of delinquent tax payments remains at 12%, and the rate on overpaym...
SC - 2025 withholding tables released
South Carolina has published its annual update of the state's withholding tax tables and withholding tax formula for 2025. Employers and payroll providers should begin using the new tables on Janu...
South Carolina has published its annual update of the state's withholding tax tables and withholding tax formula for 2025. Employers and payroll providers should begin using the new tables on Janu...
SD - Guidance on taxability of motor vehicle leases and rentals updated
The South Dakota Department of Revenue has updated a tax facts sheet discussing the applicability of state and local sales and use tax to motor vehicle leases and rentals. The facts sheet discusses, a...
The South Dakota Department of Revenue has updated a tax facts sheet discussing the applicability of state and local sales and use tax to motor vehicle leases and rentals. The facts sheet discusses, a...
TN - Taxpayer's purchase of streetlights and related equipment on behalf of public utility was exempt
A taxpayer’s purchase and installation of streetlights, photocells, smart nodes, and poles on behalf of public power authorities was not subject to Tennessee sales and use tax.Component Part of Elec...
A taxpayer’s purchase and installation of streetlights, photocells, smart nodes, and poles on behalf of public power authorities was not subject to Tennessee sales and use tax.Component Part of Elec...
TX - Private letter ruling treats dealers selling extended warranties as marketplace providers
The Texas Comptroller issued a private letter ruling in which it held that dealers who sold certain extended warranties/service polices on behalf of a particular equipment manufacturer were "marketpla...
The Texas Comptroller issued a private letter ruling in which it held that dealers who sold certain extended warranties/service polices on behalf of a particular equipment manufacturer were "marketpla...
UT - Guidance on cannabinoid product tax issued
Utah has issued a publication that provides information on cannabinoid product tax. The publication discusses the definition of cannabinoid product; what cannabinoid products are legal to sell; licens...
Utah has issued a publication that provides information on cannabinoid product tax. The publication discusses the definition of cannabinoid product; what cannabinoid products are legal to sell; licens...
VT - Local option rates announced for berlin
Vermont announced that the municipality of Berlin will have a 1% local option sales tax, as well as a 1% local option meals and rooms tax and alcoholic beverage tax, effective beginning January 1, 202...
Vermont announced that the municipality of Berlin will have a 1% local option sales tax, as well as a 1% local option meals and rooms tax and alcoholic beverage tax, effective beginning January 1, 202...
VA - Hotel property assessments upheld for failure to overcome presumption of correctness
For Virginia property tax purposes, the dismissal of the taxpayer’s challenge to the county’s assessments for 2018-2020 because the taxpayer failed to rebut the assessments’ presumptive correctn...
For Virginia property tax purposes, the dismissal of the taxpayer’s challenge to the county’s assessments for 2018-2020 because the taxpayer failed to rebut the assessments’ presumptive correctn...
WA - Municipal annexations announced
Beginning January 1, 2025, the following Washington cities have imposed annexations that may impact businesses’ sales and use tax rates: Ellensburg, Kennewick (three annexations), Lacey, Mountlake T...
Beginning January 1, 2025, the following Washington cities have imposed annexations that may impact businesses’ sales and use tax rates: Ellensburg, Kennewick (three annexations), Lacey, Mountlake T...
WV - Child and dependent care credit created
West Virginia enacted special session legislation that creates a nonrefundable child and dependent care credit. The state credit is equal to 50% of the federal credit allowed under IRC Sec. 21. Taxpay...
West Virginia enacted special session legislation that creates a nonrefundable child and dependent care credit. The state credit is equal to 50% of the federal credit allowed under IRC Sec. 21. Taxpay...
WI - No subject matter jurisdiction over untimely appeal
The Wisconsin Tax Appeals Commission held that when an appeal is untimely, the Commission lacks subject matter jurisdiction and is unable to consider the merits of the appeal. Petitioners have to file...
The Wisconsin Tax Appeals Commission held that when an appeal is untimely, the Commission lacks subject matter jurisdiction and is unable to consider the merits of the appeal. Petitioners have to file...
WY - SST taxability matrix and certificate of compliance updated
Wyoming updated its Streamlined Sales and Use Tax (SST) Agreement taxability matrix and certificate of compliance. The changes are effective August 1, 2024. Taxability Matrix: Tax Administration Pract...
Wyoming updated its Streamlined Sales and Use Tax (SST) Agreement taxability matrix and certificate of compliance. The changes are effective August 1, 2024. Taxability Matrix: Tax Administration Pract...
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