State & Local

  • February 04, 2026

    5 Takeaways From 5th Circ.'s Limited Partner Tax Decision

    The Fifth Circuit has issued a long-awaited opinion holding that partners with limited liability under state law qualify for an exclusion from the self-employment tax, and the decision offers five notable takeaways that experts said may shed light on the potential fate of partnership taxation and compliance.

  • February 04, 2026

    Tax Group Of The Year: Davis Polk

    Davis Polk & Wardwell LLP scored a significant victory for Exxon Mobil in litigation concerning the tax treatment of a major partnership with Qatar and oversaw several other complex, high-stakes transactions, earning it recognition as a 2025 Law360 Tax Practice Group of the Year.

  • February 04, 2026

    Hawaii House Panel OKs Change In Calculation Of Liquor Tax

    Hawaii would apply its liquor tax by alcohol volume instead of an amount per gallon dependent on the type of liquor under a bill passed by the House committee. 

  • February 04, 2026

    Ala. Tax Dept. Floats Regs For Raised Biz Property Exemption

    Alabama's Department of Revenue proposed amended regulations to implement the state's increased tax exemption for business' tangible personal property.

  • February 03, 2026

    NY Asks Appeals Court To Nix Paychex Challenge To Tax Regs

    A New York state appellate court should affirm a lower court's decision that said Paychex failed to exhaust its administrative remedies before challenging apportionment regulations that require professional employer organizations to exclude certain expense reimbursements from their tax calculations, the state tax agency said.

  • February 03, 2026

    Wash. Justices Won't Hear Medline's $2.4M Refund Request

    Medline cannot receive a $2.4 million remittance of sales tax paid toward the construction of a state warehouse, the Washington Supreme Court said, declining to review a state appeals court's decision.

  • February 03, 2026

    Md. Bill Would Replace Biotech Tax Credit With Grants

    Maryland legislation to convert a biotechnology tax credit into a grant program would simplify access to the incentive for investors in that sector, the bill's sponsor told a state Senate panel Tuesday.

  • February 03, 2026

    MTC Panel Advances Updates To Airline Income Sourcing Reg

    A Multistate Tax Commission committee advanced updates to a sourcing regulation for airlines Tuesday that would account for certain business practices, such as selling Wi-Fi access, that didn't exist when the rule was adopted in the 1980s.

  • February 03, 2026

    IRS Floats Clean Fuel Credit Rules With Foreign Restrictions

    The Internal Revenue Service released long-awaited proposed regulations Tuesday clarifying how domestic transportation fuel producers can qualify for the clean energy fuel tax credit under changes made by Republicans' 2025 budget law, including new foreign restrictions on business owners and feedstock sources.

  • February 03, 2026

    La. Museum Hotel Can't Get Full Tax Break, Panel Says

    The Louisiana tax board incorrectly found that a hotel operated by a nonprofit World War II museum was totally exempt from property taxes, a state appeals court ruled, saying only a portion of its use is for tax-exempt purposes.

  • February 03, 2026

    Pa. Gov.'s Budget Seeks To Tax Cannabis, Skill Games

    Pennsylvania would impose a tax on skill games and legalize and tax adult-use cannabis under the budget proposal delivered by Democratic Gov. Josh Shapiro on Tuesday. 

  • February 03, 2026

    Pa. Hotel's Complimentary Rooms Aren't Taxable, Panel Says

    A Pennsylvania company operating the Mohegan Sun casino in the Poconos does not owe $1.4 million in room rental tax that the county assessed on complimentary rooms during a two-year period, the Commonwealth Court ruled Tuesday. 

  • February 03, 2026

    Kansas House Intros Property Tax Relief Resolutions

    Kansas would put three measures out to voters that would create property tax relief if passed by the Legislature. 

  • February 03, 2026

    Md. Lawmaker Pitches Urban Agriculture Property Tax Credit

    Maryland would allow more properties to qualify for local-option tax breaks for urban agriculture under legislation pitched to a state House of Delegates panel Tuesday.

  • February 03, 2026

    Texas Revenue Rises By $48M Through January

    Texas' net general revenue collection from September through January was $48 million higher than in the same period last fiscal year, according to the state comptroller's office.

  • February 03, 2026

    Colo. Senate Votes To Expand Farm Tax Classification

    Colorado would loosen its definitions of farms and ranches to enable more agricultural producers to qualify for property tax advantages under legislation passed Tuesday by the state's Senate.

  • February 03, 2026

    W.Va. Revenues Through January Beat Forecast By $109M

    West Virginia's general fund revenue collection from July through January beat expectations by $109 million, according to the state Budget Office.

  • February 03, 2026

    Ala. Tax Agency OKs Regs For More Assessment Appeal Time

    Alabama taxpayers have twice the amount of time they previously had to appeal assessments to the state's tax tribunal or a county circuit court, according to amended regulations adopted by the state Department of Revenue.

  • February 03, 2026

    Ariz. Senate Bill Seeks Tax On Incomes Over $1M

    Arizona would charge a surtax to people with incomes over $1 million and spend the resulting revenue on school infrastructure under a bill introduced in the state Senate.

  • February 03, 2026

    Kan. Bill Would Increase School Property Tax Exemption

    Kansas would increase its school property tax exemption for 2027 under a bill introduced in the state House of Representatives. 

  • February 03, 2026

    Kan. Bill Would Allow Liquor Tax Hike For Property Reduction

    Kansas would allow localities to increase their liquor tax rates if approved by voters in order to offset revenue losses from lowering property tax rates in the area under a bill introduced in the state House of Representatives.

  • February 03, 2026

    Md. Bill Targets Tax Breaks For Nonprofits Supporting Terror

    Maryland would require state officials to determine on a regular basis whether any nonprofit organizations in the state provide material support for terrorist organizations and revoke the tax-exempt status of those that do under legislation in the state House of Delegates.

  • February 02, 2026

    DC Leaders Warn Against Congress' Nix Of Tax Decoupling

    Officials in Washington, D.C., reacted with alarm Monday to a pair of congressional joint resolutions that would repeal a district law that uncouples elements of the city's tax code from federal tax law, saying the repeal would be harmful and intrusive.

  • February 02, 2026

    Ariz. Plan To Require Supermajorities For Fee Hikes Advances

    Arizona's requirement for two-thirds support by the state Legislature for tax increases would also apply to fees set by state agencies if voters in November approve a ballot measure proposed in a resolution advanced Monday by a state Senate panel.

  • February 02, 2026

    OTA Says Calif. LLC Owes Tax On Fees, Not Escrow Funds

    Members of a California limited liability company do not owe additional tax on escrow funds connected with an exchange of property but do owe tax on a prepayment fee and legal fees connected to the exchange, the state Office of Tax Appeals ruled in an opinion released Monday.

Expert Analysis

  • 5 Keys To Building Stronger Attorney-Client Relationships

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    Attorneys are often focused on being seen as the expert, but bonding with clients and prospects by sharing a few key personal details provides the basis for a caring, trusted and profoundly deeper business relationship, says Deb Feder at Feder Development.

  • Death, Taxes And Relocations: SALT In Review

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    From a move to phase out Minnesota's estate tax to proposed inducements for relocating to Alabama and West Virginia, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

  • Attorneys Must Act Now To Protect Judicial Independence

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    Given the Trump administration's recent moves threatening the independence of the judiciary, including efforts to impeach judges who ruled against executive actions, lawyers must protect the rule of law and resist attempts to dilute the judicial branch’s authority, says attorney Bhavleen Sabharwal.

  • Rethinking 'No Comment' For Clients Facing Public Crises

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    “No comment” is no longer a cost-free or even a viable public communications strategy for companies in crisis, and counsel must tailor their guidance based on a variety of competing factors to help clients emerge successfully, says Robert Bowers at Moore & Van Allen.

  • How Design Thinking Can Help Lawyers Find Purpose In Work

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    Lawyers everywhere are feeling overwhelmed amid mass government layoffs, increasing political instability and a justice system stretched to its limits — but a design-thinking framework can help attorneys navigate this uncertainty and find meaning in their work, say law professors at the University of Michigan.

  • Justices' Certiorari Denial Leaves Interstate Tax Questions

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    Since the U.S. Supreme Court recently declined to review a Philadelphia resident’s claim that her Delaware state income taxes should be credited against her city wage tax liabilities, constitutional questions about state and local tax distinctions linger, and some states may continue to apply Supreme Court precedent differently, say attorneys at Dentons.

  • A Proposal With Sugar On Top In Mass.: SALT In Review

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    From a call to exempt candy from sales tax in Massachusetts to an unusual property tax idea in New Jersey, RSM's David Brunori offers his thoughts on noteworthy state and local tax news.

  • Inconsistent Injury-In-Fact Rules Hinder Federal Practice

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    A recent Third Circuit decision, contradicting a previous ruling about whether consumers of contaminated products have suffered an injury in fact, illustrates the deep confusion this U.S. Supreme Court standard creates among federal judges and practitioners, who deserve a simpler method of determining which cases have federal standing, says Eric Dwoskin at Dwoskin Wasdin.

  • In-House Counsel Pointers For Preserving Atty-Client Privilege

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    Several recent rulings illustrate the challenges in-house counsel can face when attempting to preserve attorney-client privilege, but a few best practices can help safeguard communications and effectively assert the privilege in an increasingly scrutinized corporate environment, says Daniel Garrie at Law & Forensics.

  • National Bank Act Rulings Facilitate More Preemption Analysis

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    Two recent National Bank Act preemption decisions from an Illinois federal court and the Ninth Circuit provide the first applications of the U.S. Supreme Court’s May ruling in Cantero v. Bank of America, opening the potential for several circuit courts to address the issue this year, say attorneys at Moore & Van Allen.

  • Lights, Camera, Ethics? TV Lawyers Tend To Set Bad Example

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    Though fictional movies and television shows portraying lawyers are fun to watch, Hollywood’s inaccurate depictions of legal ethics can desensitize attorneys to ethics violations and lead real-life clients to believe that good lawyers take a scorched-earth approach, says Nancy Rapoport at the University of Nevada, Las Vegas.

  • Accountant-Owned Law Firms Could Blur Ethical Lines

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    KPMG’s recent application to open a legal practice in Arizona represents the first overture by an accounting firm to take advantage of the state’s relaxed law firm ownership rules, but enforcing and supervising the practice of law by nonattorneys could prove particularly challenging, says Seth Laver at Goldberg Segalla.

  • AI Will Soon Transform The E-Discovery Industrial Complex

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    Todd Itami at Covington discusses how generative artificial intelligence will reshape the current e-discovery paradigm, replacing the blunt instrument of data handling with a laser scalpel of fully integrated enterprise solutions — after first making e-discovery processes technically and legally harder.

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