Mary Kay McCalla Martire
Subscribe to Mary Kay McCalla Martire's PostsMary Kay McCalla Martire focuses her practice on state and local tax disputes. She helps clients with audits, tax-related litigation, letter rulings and settlement conferences. Mary Kay has experience resolving disputes involving income, sales and use, utility and telecommunications taxes, as well as premium and retaliatory tax. Read Mary Kay McCalla Martire's full bio.
Illinois Enacts Legislation Imposing a Self-Procurement Tax While Also Narrowing the Industrial Insured Exception for Transacting Nonadmitted Insurance
By Eric D. Carstens and Mary Kay McCalla Martire on Sep 11, 2014
Posted In Illinois, Insurance Tax
Illinois will soon begin taxing self-procured insurance premiums for the first time, as required by Senate Bill 3324, now Public Act 98-0978 (the Act). The Act, which was signed into law by Governor Quinn on August 15, was quietly ushered through the General Assembly as a supposed technical amendment. The Act is anything but—it substantively...
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If At First You Don’t Succeed, Try, Try Again: Illinois General Assembly Sends Revised Version of Click-Through Nexus Law to the Governor for Signature
By Arthur R. Rosen and Mary Kay McCalla Martire on Jul 30, 2014
Posted In Constitutional Issues, Illinois, Nationwide Importance, Nexus, Sales Tax, Transaction Taxes
In 2011, Illinois became one of the first states to follow New York’s lead by enacting “click-through nexus” legislation. The Illinois law created nexus for any out-of-state retailer that contracted with a person in Illinois who displayed a link on his, her or its website that had the ability to connect an Internet user to...
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The Vermont Department of Taxes Begins to Take a Close Look at Cloud Computing
By Arthur R. Rosen and Mary Kay McCalla Martire on Jul 29, 2014
Posted In Sales Tax, Vermont
On June 30, 2013, the Vermont sales tax moratorium on remote access to software expired. At that time, the Vermont Department of Taxes (Department) reverted to its prior position that interpreted, without any analysis, the Vermont sales tax to apply to prewritten software that was “licensed for use and available from a remote server.” Recently,...
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The S.B. 3324 Self-Procurement Tax: No More “Home State” Advantage for Illinois Industrial Insureds?
By Mary Kay McCalla Martire on Jun 20, 2014
Posted In Illinois, Insurance Tax
Illinois Senate Bill 3324, an insurance bill that would impose a premium tax on Illinois companies obtaining unauthorized insurance, has passed the General Assembly and is awaiting Governor Quinn’s signature. If signed into law, the bill will have a significant negative impact on captive insurance and any other unadmitted insurance arrangements used by businesses with...
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Retailers Caught in the Middle: To Tax or Not to Tax Delivery Fees
By Mary Kay McCalla Martire on Jun 12, 2014
Posted In California, False Claims Act, Florida, Illinois, Nationwide Importance, Nevada, Sales Tax, Tennessee, Transaction Taxes
Over the past decade we have seen a large increase in the number of third party tax enforcement claims against retailers involving transaction taxes (see Multistate Tax Commission Memorandum regarding survey of class action refund claims and false action claims, dated July 12, 2013, describing such actions). The lawsuits typically are brought either as proposed...
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Illinois Legislative Tax Policy Subcommittees Issue Joint Report on Findings
By Mary Kay McCalla Martire on May 29, 2014
Posted In Illinois, Incentives, Income Tax, Sales Tax, Transaction Taxes
On May 28, 2014, the Tax Policy Subcommittees of the Illinois General Assembly’s Joint Revenue and Finance and State Government Administration Committees (Subcommittees) issued their long-awaited Report on Findings regarding the State of Illinois (Report). The Report was generated after months of hearings and solicitation of written comments from interested parties with respect to Illinois...
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Show Me the Nonbusiness Income? Missouri Supreme Court Expansively Interprets Functional Test to Conclude Rabbi Trust Income is Business Income
By Mary Kay McCalla Martire on May 19, 2014
Posted In Allocation/Apportionment, Income Tax, Missouri, UDITPA
On April 15, 2014, the Supreme Court of Missouri held that income from a trust used to fund an executive deferred compensation plan (a “rabbi trust”) was apportionable business income. MINACT, Inc. v. Director of Revenue, No. SC93162 (Mo. Apr. 15, 2014). The taxpayer, MINACT, Inc., is a Mississippi-based corporation that contracts with the federal...
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Illinois Clarifies Treatment of Corporate Income Refunds in the Calculation of Retaliatory Tax
By Mary Kay McCalla Martire on May 1, 2014
Posted In Illinois, Insurance Tax
Illinois is one of a small number of states that impose both an income tax and a premium tax on insurance companies. Disputes have arisen between insurers and the Illinois Department of Insurance (Department) regarding the proper treatment of income tax refunds in the calculation of retaliatory tax. The dispute typically concerns whether an income...
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U.S. Supreme Court Denies Certiorari to Review New York’s Click-Through Nexus Law
By Mary Kay McCalla Martire and Stephen P. Kranz on Dec 5, 2013
Posted In New York, Nexus, Sales Tax
The U.S. Supreme Court has declined to consider the constitutionality of New York’s “Amazon” click-through sales tax nexus law, leaving it in effect and emboldening other states’ similar efforts. Unless federal legislation is enacted, interstate retailers are facing an era of unprecedented uncertainty as states seek to apply their new laws to compel tax collection...
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