Stephen P. Kranz
Subscribe to Stephen P. Kranz's PostsStephen (Steve) P. Kranz is a tax lawyer who solves tax problems differently. Over the course of his extensive career, Steve has acquired specific skills and developed a unique approach that helps clients develop and implement holistic solutions to all varieties of tax problems. He combines strategic thinking with effective skills for the courtroom, the statehouse and the conference room. Read Stephen Kranz's full bio.
State and Local Tax Supreme Court Update: June 2014
By Diann Smith and Stephen P. Kranz on Jun 25, 2014
Posted In Alabama, Allocation/Apportionment, Colorado, Constitutional Issues, Income Tax, Local Tax, Mississippi, Nationwide Importance, Sales Tax, Transaction Taxes
On June 10, 2014, the Supreme Court of the United States distributed three state and local tax cases for a conference to be held on June 26, 2014: Equifax, Inc. v. Mississippi Department of Revenue, Direct Marketing Association v. Brohl, and Alabama Department of Revenue v. CSX Transportation, Inc. The Supreme Court previously agreed to...
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Louisiana Taxpayers Beware Non-Uniform Sales Tax Treatment
By Stephen P. Kranz on Jun 25, 2014
Posted In Local Tax, Sales Tax, Tax Base
On June 11, 2014, the Louisiana 24th Judicial District Court held in Normand v. Cox Communications Louisiana, LLC that video-on-demand and pay-per-view programming were not subject to Jefferson Parish sales tax because they were not tangible personal property, but non-taxable services. Prior to this case, the taxability of pay-per-view and video-on-demand programming within the local...
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You Do the Math: Unclaimed Property Lawsuit Filed Against Kelmar
By Diann Smith, Eric D. Carstens and Stephen P. Kranz on Jun 9, 2014
Posted In Constitutional Issues, Delaware, Nationwide Importance, Unclaimed Property
Mark McQuillen, president of Kelmar Associates, LLC, was misinformed when he was quoted as saying “I’ve never been sued” on May 26—less than one week after suit was filed against Kelmar and three Delaware state officials in a Delaware Federal District Court. See 72 State Tax Notes 455 (May 26, 2014). While the timing of...
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2015 D.C. Budget Bill Includes Several Significant Business Tax Changes
By Diann Smith, Eric D. Carstens and Stephen P. Kranz on May 21, 2014
Posted In Allocation/Apportionment, District of Columbia, Income Tax, UDITPA
The FY 2015 District of Columbia Budget Request Act (BRA, Bill 20-749) is currently being reviewed by the D.C. Council after being introduced on April 3 at the request of Mayor Vincent Gray. This year’s Budget Support Act (BSA, Bill 20-750), the supplementary bill implementing changes based on the BRA, contains several significant modifications to...
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An End to the Madness? Delaware Bill Introduced to End Contingent Fee Unclaimed Property Audits
By McDermott Will & Emery, Diann Smith and Stephen P. Kranz on May 20, 2014
Posted In Delaware, Unclaimed Property
Any holder who has been involved in an unclaimed property audit has experienced frustration when dealing with third party contingent fee auditors. Delaware’s increasing aggressiveness in collecting unclaimed property has been inextricably tied to the use of these auditors, who are known for taking liberties with unclaimed property laws, harassing holders and inflating the values...
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Alenia Decision May Benefit D.C. Corporate Taxpayers
By Diann Smith and Stephen P. Kranz on May 13, 2014
Posted In Allocation/Apportionment, Constitutional Issues, District of Columbia, Income Tax, Tax Base
The recent decision in Alenia N. America, Inc. v. District of Columbia Office of Tax and Revenue in the District of Columbia Office of Administrative Hearings (OAH) could present opportunities for District taxpayers to receive corporate franchise tax refunds by including their joint ventures’ apportionment factors in the taxpayers’ District apportionment percentage calculation. Alenia N....
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Revise Your Tax Matrix: Remote Access of Software Exempt in Michigan and Idaho
By Diann Smith and Stephen P. Kranz on May 6, 2014
Posted In Idaho, Michigan, Nationwide Importance, Sales Tax, Tax Base, Transaction Taxes
A trend is developing in response to aggressive Department of Revenue/Treasury policymaking regarding cloud computing. The courts and legislatures are addressing the issue and concluding that the remote access to software should not be taxed. Here are two recent developments that illustrate the trend: Michigan – Auto-Owners Insurance Company v. Department of Treasury On March...
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Multistate Tax Commission Appoints Keith Getschel as Director of Joint Audit Program
By Diann Smith and Stephen P. Kranz on May 6, 2014
Posted In Audits, Income Tax, Nationwide Importance, Sales Tax
Beginning June 16, Keith Getschel will succeed Les Koenig as the Director of the Multistate Tax Commission (MTC) Joint Audit Program. Les Koenig is retiring as of July 31. Mr. Getschel comes from the Minnesota Department of Revenue, having held the position of Assistant Commissioner for Business Taxes since 2012. Mr. Getschel has worked in...
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Oklahoma Supreme Court KOs the Constitution
By McDermott Will & Emery, Diann Smith and Stephen P. Kranz on May 5, 2014
Posted In Constitutional Issues, Incentives, Income Tax, Nationwide Importance, Oklahoma, Tax Base
On April 22, the Supreme Court of Oklahoma released its opinion in CDR Systems Corp. v. Oklahoma Tax Commission. Case No. 109,886; 2014 OK 31. The Oklahoma Supreme Court, overturning the decision of the Court of Civil Appeals, held that an Oklahoma statute, which grants a deduction for income from gains that result from the...
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Best Practices for State Engagement of Private Unclaimed Property Auditors
By Diann Smith and Stephen P. Kranz on Apr 29, 2014
Posted In Delaware, Nationwide Importance, Unclaimed Property
The U.S. Chamber Institute for Legal Reform has released a report detailing current problems with states using private companies for unclaimed property audits and paying those auditors based on the amount recovered. The report begins with an example of what can go wrong when private auditors are paid on a contingent basis. The nightmare story...
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