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.
Maryland Digital Advertising Services Tax—Implementation Delay Likely
By Michael Kimberly, Stephen P. Kranz and Mark Nebergall on Mar 2, 2021
Posted In Allocation/Appointment, Constitutional Issues, Maryland, Nationwide Importance
On the morning of Friday, February 26, 2021, the Maryland Senate Budget and Taxation Committee added a new item to its agenda for the hearing later that morning. The new item was proposed amendments to Senate Bill 787, a bill that would amend the Maryland Digital Advertising Tax by excluding broadcasters and news media and...
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Maryland Sued over Digital Advertising “Tax”
By Michael Kimberly and Stephen P. Kranz on Feb 18, 2021
Posted In Allocation/Appointment, Connecticut, Constitutional Issues, Maryland, Montana, Nationwide Importance, New York
Today, McDermott Will & Emery filed suit in Maryland federal court on behalf of a number of leading trade associations against Maryland Comptroller Peter Franchot, challenging the state’s recently enacted 10% gross receipts “tax” applicable to digital advertising revenue. The plaintiffs in the suit are the US Chamber of Commerce, the Internet Association, NetChoice and...
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Maryland Enacts First Digital Advertising Services Gross Receipts Tax: Now What?
By Stephen P. Kranz, Mark Nebergall and Eric D. Carstens on Feb 12, 2021
Posted In Allocation/Appointment, Connecticut, Constitutional Issues, Indiana, Maryland, Montana, Nationwide Importance, New York, Oregon, Washington
General Assembly Veto Override On February 12, 2021, the Maryland General Assembly overrode Governor Larry Hogan’s veto of HB 732 (2020) (the Act), a bill enacting a first-of-its-kind digital advertising services tax on the annual gross receipts from the provision of digital advertising services in Maryland. The tax only applies to companies having annual gross...
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DC Council Expands False Claims Act to Tax Claims
By Stephen P. Kranz, Diann Smith and Eric D. Carstens on Dec 1, 2020
Posted In District of Columbia, False Claims Act, Nationwide Importance
The DC Council has passed an amended bill (the False Claims Amendment Act of 2020, B23-0035) that beginning as early as January 2021 will allow tax-related false claims to be raised against large taxpayers for up to 10 years of prior tax periods! This troubling legislation creates a real and imminent possibility of prior tax...
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False Claims Act Tax Expansion Bill Advanced by DC Council
By Stephen P. Kranz, Diann Smith and Eric D. Carstens on Nov 17, 2020
Posted In District of Columbia, False Claims Act, Illinois, Nationwide Importance, New York
The DC Council has once again advanced a bill (the False Claims Amendment Act, B23-0035) that would allow tax-related false claims against large taxpayers! The bill passed a first reading of the Committee of the Whole on Tuesday, November 17, 2020, by a vote of 8-5. The bill is sponsored by Councilmember Mary Cheh, who...
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New York Legislation Proposes to Retroactively Remove FCA Culpability Standard for Tax Law Claims
By Stephen P. Kranz, Diann Smith and Eric D. Carstens on Oct 14, 2020
Posted In False Claims Act, Nationwide Importance, New York
With Halloween just a few weeks away, a scary proposal is brewing in the New York State Legislature that should give taxpayers chills. Companion bills Assembly Bill 11066 and Senate Bill 8872 were recently introduced by committee chairs (Assembly Ways and Means Chairwoman Helene Weinstein and Senate Committee on Judiciary Chairman Brad Hoylman). This legislation...
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New Jersey Reconsiders Financial Transaction Tax
By Stephen P. Kranz and Jonathan C. Hague on Sep 21, 2020
Posted In Nationwide Importance, New Jersey, Transaction Taxes
A troubling New Jersey financial transaction tax proposal, which appeared to be gaining in popularity over the last few months, has reportedly been left out of the 2021 budget deal Governor Phil Murphy struck with legislative leaders last week. The decision to drop the transaction tax from the deal came days after the Wall Street...
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Business Victorious in Unclaimed Gift Card False Claims Case
By Diann Smith, Stephen P. Kranz and Eric D. Carstens on Jun 26, 2020
Posted In Delaware
The Delaware Supreme Court gave Overstock.com a win in a False Claims Act (FCA) suit alleging the retailer failed to remit unclaimed gift card funds to the state. Overstock.com Inc. v. the State of Delaware and French, DE Sup. Ct., No. 327,2019 (June 25, 2020). A jury previously found Overstock liable for approximately $7.3 million....
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Alert: California False Claims Expansion Bill Advances to the Senate
By Stephen P. Kranz, Charles Moll, III, Troy M. Van Dongen and Elle Kaiser on Jun 16, 2020
Posted In California, False Claims Act, Illinois, Interest and Penalties, Nationwide Importance, New York, Procedure
Like the days of the Old West, last week a masked gang held up local businesses demanding their wallets. Unlike the days of the Old West, this was not the hole-in-the-wall gang, but the California State Assembly who, on June 10, 2020, approved AB 2570, a bill that authorizes tax-based false claims actions. If passed, AB...
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California Bill Would Make Taxpayer Information Available to the Public (Seriously!)
By Stephen P. Kranz on Jun 15, 2020
Posted In California, Franchise Tax, Income Tax, Nationwide Importance
A concerning bill is pending in the California Senate. SB-972 would require the California State Controller’s Office (the Controller) to make taxpayer information publicly available. The bill would require that the Controller post on its website a list of all taxpayers subject to the California corporation tax with gross receipts of $5 billion or more...
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