The reading material at this website is in addition to the reading assignments noted in the syllabus. Take a careful look at what is written below. Sometimes the instructions are to just skim it (online) or to just read specific pages.
Access RIA Checkpoint from a computer at Rose Orchard or in the King Library - click here.
Obtain an RIA Checkpoint user id at Rose Orchard or in the King Library - click here.
CCH Access (ask Professor Nellen for an access code if you don't already have one from 223A)
BNA Tax Management Portfolions - Federal and Multistate (need to enter your library card number and pin or if you don't have that, you can access with your student ID - see instructions)
If you have any difficulty access BNA, contact (408) 808-2470 for assistance.
FTB Monthly newsletters (and how to subscribe)
California Revenue & Taxation (R&T) Code [Personal income tax starts at §17001 and corporate income tax starts at §23001; allocation, water's edge election and UDITPA start at §25101]
R&T Regulations can be found on CCH or RIA as needed
Public Law 86-272 (1959)
Uniform Division of Income for Tax Purposes Act (UDITPA)
Franchise Tax Board Multistate Audit Techniques Manual [provides a nice overview to CA law wrt unitary reporting and apportionment]
Franchise Tax Board Water's-Edge Manual
Franchise Tax Board Residency and Sourcing Technical Manual
Franchise Tax Board - Index of Forms and Publications
Franchise Tax Board - Definitions
FTB 2006 Annual Report (lots of data and background information) + other years
State Comparison Data:
State Corporate Income Tax Rates (Tax Foundation) and more
Various state data (Federation of Tax Administrators)
Tax mix (US Census Bureau)
"Chasing Tax Revenue Across State Lines," Business Week, 5/21/09
The potential broad reach of income tax nexus when PL 86-272 does not apply - Colorado Ruling GIL-2009-010 (2/24/09)
Public Law 86-272 (read text of PL 86-272 and 50th Anniversary article)
"California Restructures Its Corporate Income Tax," Legal Alert, Sutherland (2/24/09)
State and multistate research materials from CCH Access and RIA Checkpoint (take a brief look at how you link to these materials)
RIA State & Local Quick Reference Card (reference)
CCH - State Tax Reporter Guide (reference)
State Income Tax Terminology, Concepts and Laws - Part I
Authority to tax multistate businesses - Northwestern Cement v. Minn., 358 US 450 (1959). This case led Congress to enact PL 86-272 a few months later.
Authority to tax a portion of a unitary business - Allied Signal, Inc. v. Director, Division of Taxation (NJ), 504 US 768 (1992)
Unitary versus state authority to tax certain transactions or income - Meadwestvaco Corp v. Illinois Dept. of Revenue, 553 US ___ (2008)
AICPA State Corporation Tax Issues Practice Guide - review of some key corporate income tax concepts (skim/reference)
State and multistate research materials from BNA (take a brief look at how you link to these materials); BNA rep visiting class for demo
State Income Tax Terminology and Key Concepts - Part II
Assuming nexus exists, how much can a state tax?
Uniform Division of Income for Tax Purposes Act (UDITPA) - skim (for reference)
UDITPA and Sales Factor - General Mills v. Franchise Tax Board (2009); in July 2009, the CA Supreme Court denied to review the case
"Unity" - FTB Multistate Audit Technique Manual on this topic - just read pages 1 - 3, 8 - 13
Combined reporting and its pros and cons:
A Majority of States Have Now Adopted a Key Corporate Tax Reform — “Combined Reporting” by Mazarov, Center on Budget & Policy Priorities (4/09)
"For corporations, 'combined reporting' is all about perception," The Providence Journal, (3/17/09)
California:
Form 100 + instructions (review)
Schedule R, Apportionment and Allocation of Income (review) Schedule R instructions (review)
FTB Pub 1061 - Guidelines for Corporations Filing a Combined Report (reference)
FTB Notice 2004-5 and Notice 2006-3 relating to Section 18 of UDITPA and R&T 25137 on using a different apportionment or allocation rule
Nellen, Not Flat: State Income Tax Nexus, 6/08
Geoffrey case from South Carolina (1993)
Tax Commissioner of the State of West Virginia v. MBNA America Bank (S Ct. WV 2006)
Multistate Tax Commission (MTC) Factor Presence Nexus Standard
MTC, Nexus Program Bulletin 95-1, Computer Company's Provision of In-State Repair Services Creates Nexus (California did not adopt this) (skim)
Sampling of state nexus questionnaires: (skim)
State Taxation of Telecommuters, by Lafond and Schrader, Journal of Accountancy, June 2009
LLCs in California - info from FTB
S Corporations in California - info from FTB
FTB Publication 1050 on California's interpretation of PL 86-272
Minimum tax (FTB Info)
FTB Pub 984 - State/Federal Differences for Businesses
Container Corp v. FTB, 463 US 159 (1983) - can "unitary" include foreign entities?
FAQ on California taxes (skim)
FTB FAQ on assignment of credits within a combined unitary group (skim)
FTB - FAQ on new understatement penalty
CalTax v FTB, 5/09 - upheld the validity of the penalty (reading the case is optional)
California tax credits (FTB Info)
California - Statute of limitations on assessments (skim)
Tax Amnesty Programs and Voluntary Compliance Initiatives: A Way to Mitigate Declining State Revenues, by Weinrab, Journal of Accountancy, May 18, 2009
Professor Nellen presentation on various state tax procedures: Presentation (25 minutes) Powerpoint file
Deloitte podcast (4/30/09) on amnesty and voluntary disclosure programs (30 minutes)
Gross Receipts Taxes, AICPA Corporate Taxation Insider, 4/24/08
Gross Receipts Taxes - Panacea or mistake? AICPA Corporate Taxation Insider, 5/22/08
Business concerns as identified by COST - skim the list and look at one write-up of interest
Another perspective - California Budget Project budget brief (June 2009) - To Have and Have Not (focus on the charts)
Moving State Tax Systems into the 21st Century, AICPA Tax Insider, 3/12/09
Minnesota's 21st Century Tax Reform Commission Final Report (2/09) - call for repeal of the state corporate income tax (pages 14 - 19)
Review item - this set of slides from the Montana Dept of Revenue dated 2004 provides a nice review of many of the concepts covered in class and give you an opportunity to see some specific rules in a state (advise to read on line rather than print; this information has already been covered, you might find it to be a helpful review)
Professor Annette Nellen August 11, 2009