Does Derek Jeter Live in NYC or Florida?

According to this article in the New York Times, he says he lives in FL, but the evidence may indicate he lives in NY.

"New York State tax officials say that the Yankee star Derek Jeter claimed he lived in Florida to avoid paying city and state income taxes for several years, when he was actually living in New York, according to documents filed last week with an administrative law judge.
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It's Better When the Legislature is Out of Session

The Maryland Chamber of Commerce had an eye-catching headline on its website:

"Special Session Results in $800 Million in New Business Taxes"

When you hear your governor call for a "Special Session", grab your wallet! Here is the Chamber's summary of what the legisalture did to Maryland businesses and citizens.
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Michigan Backs Down on Service Tax -- Increases Income Tax Instead

According to CCH, the surcharge is to be based on a percentage of the taxpayer's liability before credits. For all taxpayers, other than financial institutions, the surcharge would be:

-- 32.9% for tax years ending after 2007 and before 2009; and
-- 27.3% for tax years ending after 2008.
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You Own a Farm/Ranch and Want to Deduct the Losses?

The question of "hobby-losses" come up frequently in income tax. So this issue is always an interesting one to watch. In this case, a couple in Alabama won their case at the administrative level against the AL DoR. Even though both of them had full-time jobs off the farm, they were able to show they were operating it for a profit. Here is the analysis performed by the ALJ considered in ruling for the taxpayer:
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Corporate Officers NOT Liable for TX Franchise Tax -- Why Not?

In this case (Paccar Financial Corp. v. Potter, Texas Court of Appeals, Fifth District, No. 05-05-00403-CV, October 31, 2007), the individuals who had been corporate officers when a corporation's Texas franchise tax report was due had actually resigned before the corporate debt was incurred after the report was not filed. As a result they were not personally liable for the corporation's debts.
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Legal Experts Say High Court Will Not Dare Upset the Municipal Bond Market

In an earlier post, we discussed the pending US Supreme Court case on the issue of whether KY can tax out-of-state municipal bond income while exempting in-state bond income. It seems unconstitutional on its face. But according to this article in the Wall Street Journal, legal experts are pretty much agreeing the Court will let the states continue to tax them that way.

Everything's Bigger in Texas -- But This New Franchise Tax Is No Joke

Many of you know that Texas has recently enacted sweeping changes to its corporate income tax. Oh I know, Texas has no income tax – that would be unconstitutional. I’ve been asking myself -- How did we get to this?
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She's Married with Children in New York - Or is she?

One and one is two, unless you're an accountant or an official with any department of revenue. I saw this summary of a recent NY case on CCH (Ilyaich, New York Division of Tax Appeals, Administrative Law Judge Unit, DTA No. 820875, October 18, 2007).
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Supreme Court Ruling Could Roil Municipal Bond Markets

The Supreme Court will hear arguments Nov. 5 on whether Kentucky violates the Constitution by taxing income earned on out-of- state bonds while exempting interest on ones issued by its own cities, school districts and other debt-issuing authorities. According this article from Bloomberg.com, "barring such preferential treatment would force 42 states, including New York and California, to either tax their own bonds or give identical breaks to out-of-state bonds."
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The Extended Moratorium on Taxation of Internet Access Has Some Income Tax Implications

You might not immediately think of the recently signed Internet Access taxation ban as having anything other than an effect on state sales taxes, but there was a potential loophole in it that states like Texas smoked out.
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