Federal
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June 05, 2025
KFC Parent Co. Fights $4B IRS Bill In Tax Court
The parent company of Pizza Hut, KFC and Taco Bell is challenging $2.5 billion in taxes and penalties that the IRS claims it owes for a corporate reorganization to restructure its international operations, according to a U.S. Tax Court petition served Thursday, a figure that has topped $4 billion with interest.
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June 05, 2025
Justices Fault Wis. For Denying Tax Break To Charities
Wisconsin discriminated against a group of Catholic charities when it denied them an unemployment tax exemption, the U.S. Supreme Court said Thursday, rejecting the state's argument that the charities were not operated primarily for religious purposes.
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June 04, 2025
Cheesesteak Icon Asks 3rd Circ. If Loper Bright Slices Sentence
Counsel for a Philadelphia cheesesteak shop owner seeking a lighter sentence for paying employees off the books told the court Wednesday that he has asked the Third Circuit to consider how the U.S. Supreme Court's landmark decision striking longstanding agency deference framework might affect his case.
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June 04, 2025
NJ Man Cops To Dodging $2M Tax Bill On Real Estate
A New Jersey man linked to an intricate pension plan scheme involving refunds from the Dutch government pled guilty to evading more than $2.4 million in U.S. taxes by concealing ownership of more than $5.5 million in real estate, the U.S. Department of Justice said Wednesday.
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June 04, 2025
Trump Ordered To Explain Why Layoffs Don't Flout Injunction
A California federal judge ordered the Trump administration Wednesday to explain why preparations for layoffs at the State Department and Department of Housing and Urban Development do not violate an injunction she issued last month, saying she needed more details about the agencies' plans to evaluate their compliance.
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June 04, 2025
Biz Groups Urge US To Pressure Canada To Drop Digital Tax
A coalition of business lobbying groups have urged the U.S. government to take "decisive action" against Canada's digital services tax before the June 30 payment deadline, contending that the levy will cost U.S. companies about $2 billion this year.
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June 04, 2025
Senate May Clash With House On SALT Cap, Energy Credits
Senate Republicans are working to finalize the chamber's version of the House's nearly $4 trillion tax bill, and the Senate's bill is likely to conflict with the House's over proposed changes to the state and local tax deduction and green energy credits.
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June 04, 2025
Tax Court Rejects Frivolous Wage Classification Argument
A woman's wages from her job at Fidelity Investments should have been reported as income on her and her husband's joint tax return, the U.S. Tax Court affirmed Wednesday, upholding the IRS' deficiency finding and also hit the couple with a penalty.
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June 04, 2025
Mother-Son Car Co. Owners Owe Penalties, Tax Court Says
A mother and son who owned a used car business owe tax penalties for failing to report corporate dividends, the U.S. Tax Court ruled Wednesday, saying the pair couldn't back up their claim that the state of California had seized the records they needed to defend themselves.
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June 04, 2025
Satellite Co. Execs Released In $250M Fraud, Evasion Case
Two more satellite company executives facing charges of tricking investors out of $250 million are being released after their leader, who was additionally accused of tax crimes, was deemed a flight risk, according to D.C. federal court documents.
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June 04, 2025
Loeb & Loeb Trusts And Estates Head Jumps To Proskauer
Proskauer Rose LLP has hired the former chair of Loeb & Loeb LLP's international trusts and estates practice group to represent ultra-high-net-worth individuals and families.
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June 03, 2025
DC Circ. Rejects Tipster's Bid To Reverse IRS Award Denial
The D.C. Circuit refused to reinstate a tipster's petition for a whistleblower award before the U.S. Tax Court claiming his former employer intentionally misclassified him as an independent contractor, ruling Tuesday the Tax Court lacked jurisdiction since he failed to show the agency acted on his tip.
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June 03, 2025
NY Family Partnership Fights $4.5M Income Shift In Tax Court
A New York family partnership challenged an Internal Revenue Service determination that it formed mainly to reduce the tax liability of one of its limited partners, telling the U.S. Tax Court that the agency wrongly shifted $4.5 million in income taxable to him.
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June 03, 2025
WTO Useful For China Enforcement, US Trade Nominee Says
The U.S. should work with partners at the World Trade Organization to apply further trade pressure on China, making sure the country is complying with rules and trading fairly, a Skadden partner nominated by President Donald Trump to represent the U.S. at the WTO told lawmakers Tuesday.
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June 03, 2025
OECD Predicts Growth Slowdown From US Tariffs, Responses
Trade barriers — most notably U.S. tariffs and other countries' reciprocal measures — could result in a slowdown in global economic growth, the Organization for Economic Cooperation and Development said Tuesday, projecting a dip over the next two years.
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June 03, 2025
Senate Panel Advances Trump's Pick To Lead IRS
The Senate Finance Committee approved President Donald Trump's selection of former U.S. Rep. Billy Long to serve as commissioner of the IRS on Tuesday, sending the nomination to the full Senate.
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June 03, 2025
Irish Court Says US Co.'s Irish Units Not Owed Treaty Benefits
Three Irish subsidiaries cannot benefit from the U.S.-Ireland tax treaty's provision of equally favorable treatment between U.S. and Irish residents because their ultimate parent entity, a Delaware financial firm, is disregarded for U.S. tax purposes, Ireland's Court of Appeal said in a judgment.
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June 03, 2025
The Law360 400: A Look At The Top 100 Firms
A rebound in client work sent the nation’s largest law firms into growth mode last year, driving a wave of hiring, mergers and strategic moves that reshaped the top tier of the Law360 400. Here's a preview of the 100 firms with the largest U.S. attorney headcounts.
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June 03, 2025
Precedent Does Apply To $6.6M Microcaptive Case, Court Told
A captive insurance program operator challenging $6.6 million in tax fraud penalties told a Pennsylvania federal court that the government boldly and incorrectly claimed that the U.S. Supreme Court's landmark ruling requiring a jury to make certain fraud findings doesn't apply to its case.
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June 02, 2025
Budget Bill Would Deepen Residential Solar's Woes
A Sunnova unit's bankruptcy declaration — the latest among dozens of solar companies that have struggled to stay afloat — adds to evidence of a floundering residential solar industry, which now faces further diminishing prospects under the federal budget reconciliation bill.
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June 02, 2025
1st Circ. Largely Backs Convictions For Cop Union Kickbacks
The First Circuit on Monday mostly upheld the convictions of a former Massachusetts state police union president and a Beacon Hill lobbyist who were found guilty of running a kickback scheme, but ordered new sentencing hearings for them after vacating some of the guilty findings.
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June 02, 2025
IRS Issues Interim Regs To Simplify Corp. AMT Determination
The Internal Revenue Service released temporary regulations Monday that offered a simplified method for large companies seeking to determine whether the 15% corporate alternative minimum tax applies to them, as well as penalty relief for those that underpaid the levy this year.
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June 02, 2025
Justices Urged To Reject Bid Disputing IRS Crypto Summons
The U.S. Supreme Court should not take up the case of a bitcoin investor who claimed the IRS violated his privacy when it seized his records from the cryptocurrency exchange, the government argued, saying the case is a poor vehicle for addressing concerns about digital-era transactions.
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June 02, 2025
4 Mass. Rulings You May Have Missed In May
Massachusetts judges grappled with accusations of fraud in the sale of a struggling life sciences company and gave the benefit of the doubt to a vendor who allegedly sold the state gallons of ineffective hand sanitizer, among other notable rulings last month.
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June 02, 2025
Tax Court Finds No Abuse By IRS In Rejecting Man's Tax Offer
The Internal Revenue Service did not abuse its discretion in rejecting a man's offer in compromise for the balance on a $400,000 tax bill, the U.S. Tax Court ruled Monday, saying the agency properly considered cash in the man's bank account and his current wages.
Expert Analysis
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Firms Still Have The Edge In Lateral Hiring, But Buyer Beware
Partner mobility data suggests that the third quarter of this year continued to be a buyer’s market, with the average candidate demanding less compensation for a larger book of business — but moving into the fourth quarter, firms should slow down their hiring process to minimize risks, say officers at Decipher Investigative Intelligence.
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Congress Should Expand Investment Options For 403(b)s
Lawmakers should pass pending legislation to give 403(b) plan participants access to collective investment trusts, leveling the playing field for public sector retirement investors by giving them an investment option their private sector counterparts have had for decades, says Jason Levy at Great Gray Trust Company.
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Think Like A Lawyer: 1 Type Of Case Complexity Stands Out
In contrast to some cases that appear complex due to voluminous evidence or esoteric subject matter, a different kind of complexity involves tangled legal and factual questions, each with a range of possible outcomes, which require a “sliding scale” approach instead of syllogistic reasoning, says Luke Andrews at Poole Huffman.
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Think Like A Lawyer: Note 3 Simple Types Of Legal Complexity
Cases can appear complex for several reasons — due to the number of issues, the volume of factual and evidentiary sources, and the sophistication of those sources — but the same basic technique can help lawyers tame their arguments into a simple and persuasive message, says Luke Andrews at Poole Huffman.
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Gardening Makes Me A Better Lawyer
Beyond its practical and therapeutic benefits, gardening has bolstered important attributes that also apply to my litigation practice, including persistence, patience, grit and authenticity, says Christopher Viceconte at Gibbons.
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Litigation Inspiration: Reframing Document Review
For attorneys — new ones especially — there is much fulfillment to find in document review by reflecting on how important, interesting and pleasant it can be, says Bennett Rawicki at Hilgers Graben.
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Rank-And-File DOJ Attorneys Will Keep Calm And Carry On
Career prosecutors at the U.S. Department of Justice often pride themselves on their ability to remain apolitical in order to ensure consistency and keep the department’s mission afloat, and the incoming Trump administration is unlikely to upend this tradition, says Michael Landman at Bird Marella.
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What Higher Education Can Expect From A 2nd Trump Admin
The election of Donald Trump for a second presidential term has far-reaching ramifications for colleges and universities — come January, institutions can expect a crackdown on DEI, increased scrutiny of campus protests, a rollback of the Biden administration's Title IX rules and more, say attorneys at Jenner & Block.
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3 Ways To Train Junior Lawyers In 30 Minutes Or Less
Today’s junior lawyers are experiencing a skills gap due to pandemic-era disruptions, but firms can help bring them up to speed by offering high-impact skill building content in bite-sized, interactive training sessions, say Stacey Schwartz at Katten, Diane Costigan at Winston & Strawn and Lauren Tierney at Freshfields.
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Expect Surging Oil And Gas Industry Under New Trump Admin
Throughout his recent campaign, President-elect Donald Trump promised increased oil and natural gas production and reduced reliance on renewables — and his administration will likely bring more oil and gas dealmaking, faster federal permitting and attempts to roll back incentives for green energy, say attorneys at Sidley.
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The Bar Needs More Clarity On The Discovery Objection Rule
Almost 10 years after Federal Rule of Civil Procedure 34 was amended, attorneys still seem confused about what they should include in objections to discovery requests, and until the rules committee provides additional clarity, practitioners must beware the steep costs of noncompliance, says Tristan Ellis at Shanies Law Office.
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Cos. Should Inventory Issues To Prep For New Congress
As the legislative and oversight agendas of the 119th Congress come into sharper focus, corporate counsel should assess and plan for areas of potential oversight risk — from tax policy changes to supply chain integrity — even as much uncertainty remains, say attorneys at WilmerHale.
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Conservation Easement Cases Weave Web Of Uncertainty
Much of the IRS and Justice Department’s recent success in prosecuting syndicated conservation easement cases can be attributed to the government’s focus on the so-called PropCo ratio, which could indicate treacherous waters ahead for participants and their advisers, even under the incoming Trump administration, say attorneys at Polsinelli.