Introduction to State and Local Taxation Agenda

July 24-25, 2023 - Westin New York at Times Square, New York, NY

Chair: Jeffrey A. Friedman, Esq., Partner, Eversheds Sutherland US, Washington, DC


DAY 1

8 a.m.

REGISTRATION AND DISTRIBUTION OF MATERIALS


8:25 a.m.

WELCOME REMARKS

  • Kathleen Costello, CMP, Assistant Director, NYU School of Professional Studies, New York, NY

8:30 – 9:30 a.m.

US CONSTITUTIONAL AND OTHER FEDERAL CONSTRAINTS ON STATE TAXATION

  • Jeffrey A. Friedman, Esq., Partner, Eversheds Sutherland US, Washington, DC
  • Lynn A. Gandhi, Esq., Partner, Foley & Lardner, Detroit, MI

9:30 – 10:30 a.m.

INTRODUCTION TO SALES AND USE TAXATION

  • Discussion and Overview of Sales and Use Taxes
  • Commonalities and Differences Among State Sales Taxes
  • Tangible Personal Property and other Key Definitions
  • Credits Against Taxes Paid to Other States
 
  • Eric M. Anderson, Esq., Managing Director, Anderson Tax, San Francisco, CA
  • Jeffrey A. Friedman, Esq., Partner, Eversheds Sutherland US, Washington, DC

10:30 – 10:45 a.m.

REFRESHMENT BREAK


10:45 a.m. – 12:00 p.m.

SALES TAXATION EXEMPTIONS AND ADMINISTRATION

  • Resale, Manufacturing, Processing Exemptions
  • Exemption Certificates Administration
  • Streamlined Sales and Use Tax Project and Agreement
  • Common Audit Issues
 
  • Timothy A. Gustafson, Esq., Partner, Eversheds Sutherland US, Sacramento, CA
  • Todd A. Lard, Esq., Tax Counsel, Tax Executives Institute, Washington, DC

12:00 – 1:00 p.m.

Lunch Recess


1:00 – 2:30 p.m.

SALES TAXATION OF SERVICES AND OTHER SPECIAL PROBLEMS

  • Discussion of Taxation of Information, Data Processing, and other Computer-Related Services
  • Apportionment of Service Transactions
  • Bundled Transaction and Mixed Sales
  • Use Taxation on Mobile Property
  • Local Sales and Use Taxes
  • Class Action and Qui Tam Litigation
 
  • Michael J. Semes, Esq., Of Counsel, BakerHostetler, Philadelphia, PA
  • David Yanchik, Esq., Managing Director, KPMG, Pittsburgh, PA

2:30 – 3:15 p.m.

SALES TAXATION OF SERVICES AND OTHER SPECIAL PROBLEMS

  • Description of Marketplace Collection Statutes including Notable Similarities and Differences
  • Special Issues, including Liability of Third-Party Sellers and Marketplaces, Exemptions and Certificates,
 
  • Elizabeth S. Cha, Esq., Partner, Eversheds Sutherland US, New York, NY
  • Cyavash N. Ahmadi, Esq., Associate, Eversheds Sutherland US, New York, NY

3:15 – 3:30 p.m.

Refreshment Break


3:30 – 4:30 p.m.

GROSS RECEIPTS TAXES

  • Description of Various Gross Receipts Taxes, including Washington B&O, Ohio CAT, Texas Margins Tax
  • Special Problems, including Apportionment, Pyramiding, Treatment of Intercompany Transactions, and Pass-Through
 
  • Maria M. Todorova, Esq., Partner, Eversheds Sutherland US, Atlanta, GA
  • Jeremy P. Gove, Esq., Associate, Eversheds Sutherland US, New York, NY

4:30 – 5:30 p.m.

STATE TAX RESEARCH TOOLS, TIPS AND TRICKS

  • Chelsea E. Marmor Esq., Associate, Eversheds Sutherland US, New York, NY
  • John Ormonde, Esq., Associate, Eversheds Sutherland US, Washington, DC

Day 2

8:15 – 9:30 a.m.

OVERVIEW OF STATE CORPORATE INCOME TAXATION

  • Tax Base and Federal Income Tax Conformity
  • Common Modifications and Adjustments
  • Business Income and Non-Business Income
    • Apportionment versus Allocation
     
  • Todd G. Betor, Esq., Partner, Eversheds Sutherland US, New York, NY
  • Kimberly A. Krueger, Esq., CPA, Director, State & Local Tax, PwC, New York, NY

9:30 – 10:30 a.m.

APPORTIONMENT OF THE CORPORATE INCOME TAX BASE

  • Uniform Division of Income for Tax Purposes Act
    • Overview of the Three-Factor Formula
    • Description of Each Factor and Calculation
 
  • Elizabeth S. Cha, Esq., Partner, Eversheds Sutherland US, New York, NY
  • Ted W. Friedman, Esq., Partner, Eversheds Sutherland US, New York, NY

10:30 – 10:45 a.m.

Refreshment Break


10:45 a.m. – 12:00 p.m.

SALES FACTOR: SPECIAL PROBLEMS

  • Moorman and the Constitutionality of the Single Sales Factor
  • Sales of Services
    • Costs-of-Performance Issues and Litigation
    • Market-Based Sourcing Issues and Litigation
  • Throwback and Throwout
 
  • Lynn A. Gandhi, Esq., Partner, Foley & Lardner, Detroit, MI
  • Maria M. Todorova, Esq., Partner, Eversheds Sutherland US, Atlanta, GA

12:00 – 1:00 p.m.

Lunch Recess


1:00 – 2:00 p.m.

THE UNITARY BUSINESS PRINCIPLE

  • Discussion of the Principle and the Roles It Serves in Corporate Income Taxation
  • Description of the Various Tests Employed to Apply the Unitary Business Principle
  • Special Problems Associated with the Unitary Business Principle
 
  • Todd A. Lard, Esq., Tax Counsel, Tax Executives Institute, Washington, DC
  • Michael J. Semes, Esq., Of Counsel, BakerHostetler, Philadelphia, PA

2:00 – 3:00 p.m.

STATE CORPORATE INCOME TAX FILING METHODS

  • Separate, Consolidated and Unitary Combined Returns
    • Water’s Edge versus Worldwide Combined Reporting
  • Treatment of Intercompany Transactions
  • Application of State Anti-Abuse Rules
    • Addback Statutes
    • Inclusion of Tax Haven Affiliates
 
  • Valerie C. Dickerson, J.D., CPA, Partner, Washington National Tax-Multistate, Deloitte Tax, Washington, DC
  • Timothy A. Gustafson, Esq., Partner, Eversheds Sutherland US, Sacramento, CA

3:00 – 3:15 p.m.

Refreshment Break


3:15 – 4:00 p.m.

STATE TAX ADMINISTRATION

  • Statutes of Limitations
  • Requirements of Refund Claims
  • Requirements of State Tax Protests of Assessments
    • Differences between Proposed and Final Assessments
 
  • Leonore Heavey, Esq., Tax Counsel, Council On State Taxation, Washington, DC
  • Marilyn Wethekam, Esq., Of Counsel, Council On State Taxation, Washington, DC
  • Andrew Jay Maschas, Esq., Director, Appeals Division, Comptroller of Maryland, Baltimore, MD

4:00 – 4:45 p.m.

FINANCIAL STATEMENT ISSUES ASSOCIATED WITH STATE TAXATION

  • Application of ASC 740 (Income Taxes) and ASC 450 (Non-Income Taxes)
  • Consideration of Different Tests and Comfort Levels Used to Reserve or Not
 
  • Todd G. Betor, Esq., Partner, Eversheds Sutherland US, New York, NY
  • Kimberly A. Krueger, Esq., CPA, Director, State & Local Tax, PwC, New York, NY

4:45 p.m.

CONFERENCE CONCLUDES


LEARNING OBJECTIVES
Upon completion of this program, you will have acquired a broad-based foundation in state and local taxation, as well as a basis for comparing and contrasting the various states’ systems of taxation with each other, and with the Internal Revenue Code:

  • Constitutional limitations on the ability of states to tax kinds of income and categories of taxpayers generally
  • The essentials of multistate income taxation including allocation and apportionment of income with respect to taxpayers with residence or operations in more than one state
  • The essentials and principles of non-income based taxes with emphasis on sales and use taxes

Program Level: Basic • Prerequisite: No Prerequisite