Our SALT lawyers routinely:
- Evaluate and implement state tax planning advantages
- Represent clients in tax controversies at either the audit or judicial level
- Obtain tax incentives for project development
- Accomplish due diligence analysis in M&A transactions through finding SALT opportunities or uncovering pitfalls
- Obtain favorable private letter rulings from various state departments of revenue
- Evaluate property tax assessments of both real and business personal property
- Submit schedules of values and their application to property
- Pursue exemptions of property from ad valorem taxation
- Establish present use valuation
Highlights of our specific experience include:
- Represented a Fortune 500 company in the banking industry in successfully negotiating a settlement with a state taxing agency seeking $37 million in income taxes and license fees. The agency alleged nexus over REITs and REIT shareholders by arguing dividend income to REIT shareholders was taxable by the nonresident state.
- Represented a Fortune 500 company in the financial services industry in seeking a refund of $5 million of corporate income tax due to improper taxation of exempt federal interest income in violation of 31 USC 3142.
- Represented a Fortune 500 company in the automotive supplier industry in which the taxing agency sought $1.5 million in corporate income tax. The agency alleged the taxpayer sold an intangible, creating a gain that should have been apportioned while the taxpayer asserted the gain should have been allocated to Michigan.
- Represented a Fortune 500 company in the medical diagnostic industry in seeking a settlement in which the taxing state sought corporate income tax of $1.6 million under a forced combination of affiliated and centrally controlled corporations.
- Represented a Fortune 100 company in the financial services industry by successfully negotiating a settlement with a state taxing agency seeking $13 million in license fees and corporate income taxes. The taxing agency sought nexus over banks, credit card companies, and securitization companies, plus the taxing agency sought to apportion taxable income using a “market based” apportionment (based on the location of the customer) rather than a cost of performance basis.
- Represented a privately held nationwide retailer with annual sales of $150 million in a proceeding seeking state sales and use taxes of approximately $800,000 involving issues of nexus of a remote seller making sales into the taxing state when the seller had no physical presence but an affiliate operating a different business did have a physical presence in the state.
- Served a Fortune 300 company in the retail apparel industry as an expert witness for the taxpayer in preparation for an evidentiary hearing challenging the use of a pricing method that included an alleged “embedded royalty” in an arm’s length purchase and sale between related entities.
- Served as an expert witness for a privately held company in the real estate development business seeking to challenge the constitutionality of a state’s law triggering a revaluation of property under an “assessable transfer of interest.”