Tax Monitor

West Virginia Becomes Latest State to Authorize Pass Through Entities to Pay State Income Tax at Entity Level Beginning With Tax Year 2022

March 10, 2023

The West Virginia Legislature recently passed a bill that could grant business owners relief from what’s become known as the “SALT cap.”  Owners of pass-through entities need to understand the changes enacted by this law immediately because its retroactive nature provides a potential benefit for the 2022 tax year, whose filing deadlines are rapidly approaching.

The Federal Tax Cuts and Jobs Act of…

Save the Date! 2022 West Virginia Tax Institute Annual Meeting - October 23rd, 24th & 25th - Canaan Valley Resort

September 7, 2022

The 73rd Annual West Virginia Tax Institute meeting is coming up fast and we are excited to be back in person for the first time since 2019.

The 2022 Program with the schedule and speakers is attached, and we anticipate that the Program will qualify for both West Virginia CLE and CPE credits, which will include ethics/law office management.

The full program details and registration forms can also…

Inflation Reduction Act Expected to Cost Coal

August 12, 2022

The U.S. House of Representatives will soon take up the Inflation Reduction Act (“Act”), passed by the Senate earlier this week after a tie-breaking vote by Vice President Harris. The Act seeks to tackle various environmental and health care issues, allocating significant funds toward the reduction of greenhouse gas emissions and placing a cap on out-of-pocket prescription costs for individuals…

Estate Planning in the Current Environment

July 18, 2022

Since the changes to the estate, gift, and generation skipping taxes went into effect in the Tax Cuts and Jobs Act of 2017 (“Tax Act”), advisers and clients have been working to take maximum advantage of the benefits, many of which will sunset at the end of 2025 without further legislative action.

The Tax Act doubled the estate, gift, and generation skipping tax exemptions.  In 2022, the estate tax…

The Superfund Excise Tax Is Returning Soon for the Chemical Industry.

May 16, 2022

Chemical companies need to prepare for the return of an excise tax on chemicals produced or imported that hasn’t been in effect for nearly 30 years.  In January 2022, the IRS published Notice 2021-66, related to the Infrastructure Investment and Jobs Act (“IIJA”), which revives the excise taxes imposed on certain chemicals—previously known as the Superfund Chemicals taxes.  See https://www.irs.gov/p…

Service Businesses Should Brace for New Kentucky Taxes in 2023

April 27, 2022

The Kentucky General Assembly recently voted to override Governor Andy Beshear’s veto of House Bill 8 (HB 8) which expands the scope of services subject to the Kentucky sales and use tax to a broad range of additional services provided to businesses and consumers in the state. 

In 2018, the Kentucky General Assembly passed legislation expanding the scope of the Kentucky sales tax to certain…

WEST VIRGINIA LEGISLATURE ALTERS PIERCING THE VEIL ANALYSIS FOR LIMITED LIABILITY COMPANIES

April 22, 2022

To avoid facing a piercing the veil argument, West Virginia limited liability companies should ensure they are adequately capitalized and carry sufficient insurance coverage. West Virginia Senate Bill 6 (“SB 6”), signed by Governor Justice on March 28, 2022 and effective June 10, 2022, limits the ruling of the Supreme Court of Appeals of West Virginia in Joseph Kubican v. The Tavern, LLC, 752…

8 Things to Keep in Mind for 2021 Tax Filing

March 8, 2022

Things to Keep in Mind for 2021 Tax Filing

While filing season is well under way for tax year 2021, it is important to keep in mind some of the issues specific to the 2021 tax year and some items that have been carried over from relief packages passed for tax year 2020.  A few key issues are discussed below. 

Return Processing.  As the IRS continues to struggle with staffing and processing issues,…

Save the Date! 2021 West Virginia Tax Institute - October 18th & 19th

September 28, 2021

The Seventy-Second Annual West Virginia Tax Institute Meeting will be live streamed on Monday and Tuesday morning, October 18 & 19, 2021 from 9:00 am to 12:00 pm each day. 

We are still busy finalizing the schedule and speakers for this year’s program. We anticipate that the Program will qualify for approximately 6 hours of CLE/CPE credit, 1.5 of which is in Ethics.   

The full Program details and…

Certain State Tax Treatment Of PPP Loan Forgiveness And Deductibility Of Expenses

February 16, 2021

Federal Treatment of PPP Loan Forgiveness and Deductibility of Covered Expenses

One of the largest relief programs contained in the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) passed March 27, 2020, was the Payroll Protection Program (“PPP”), which provided forgivable loan assistance to companies seeking to maintain their payroll during the COVID-19 pandemic. The CARES Act…

An Update on Taxes During COVID-19 - UPDATED

March 18, 2020

Breaking News: U.S. Treasury Secretary Steven Mnuchin announced on March 20, 2020 that the IRS is moving Tax Day to July 15, 2020 from April 15. Accordingly, taxpayers can now delay filing and paying taxes until July 15.  Taxpayers can also still delay paying first quarter 2020 estimates until July 15. For details click here.

The Treasury announced yesterday, March 17, 2020, invoking the…

U.S. Supreme Court Decision Clears the Way for West Virginia to Tax Internet Sales

October 10, 2018

On June 21, 2018, in a 5-4 opinion, the United States Supreme Court overturned Quill Corp. v. North Dakota and National Bellas Hess, Inc. v. Department of Revenue of Illinois, which had previously held that a state cannot require an out-of-state seller with no physical presence in the state to collect and remit sales taxes on goods the seller ships to consumers in the state.  See South Dakota v. …