Section Newsletter Articles on Taxation

Roth 401(k) plans By Leonard S. DeFranco Federal Taxation, April 2012 An overview of Roth accounts for retirement planning.
IDOR Practitioners Meeting, February 3, 2012— Questions Submitted in Advance State and Local Taxation, March 2012 Questions and answers from the Illinois Department of Revenue Practitioners Meeting.
Taxation of software licenses in Illinois: Is the “click” as mighty as the pen? By Paul G. Bogdanski and David P. Dorner State and Local Taxation, January 2012 In Illinois, the imposition of sales and use tax is statutorily limited to transfers of “ownership of” or “title to” tangible personal property in a retail transaction. Accordingly, unlike most other states, Illinois does not impose sales or use tax on the rental, lease or license of tangible personal property, since these type of transactions do not convey ownership or title to the property being rented, leased or licensed.
Audit Alert—A summary of the IRS Audit Plans for 2012 By James C. Krupp Federal Taxation, December 2011 Some notable “planned audits” and “performance challenges” for fiscal year 2012.
Be aware—A practical reminder as tax season approaches By Gregory A. Zbylut Federal Taxation, December 2011 A list of clients and issues to watch for.
Does the loss of the Long Time Occupant Homestead Exemption increase taxes, or does it merely reflect the removal of a previously granted protection no longer needed because of the declining market? By Gary H. Smith State and Local Taxation, December 2011 What effect does a reduced Long Time Occupant Homestead Exemption in a depreciating real estate market have upon the tax burden to the long-time homeowner?
Historical review of inflation adjustments to estate tax exemptions By Gregg M. Simon Trusts and Estates, December 2011 A compilation of tables that illustrate the changes that have been made in estate tax exemptions over the years.
The Illinois gift tax and a planning opportunity, perhaps? By Gary R. Gehlbach Trusts and Estates, December 2011 With the $5 million federal gift and estate tax exemption and the $2 million Illinois estate tax exemption, a popular planning technique is to have clients make substantial lifetime gifts, using some or all of their $5 million federal gift tax exemption.
IRS guidance on carryover basis for 2010 decedents By Ryan A. Walsh Federal Taxation, December 2011 Form 8939, the basis allocation form required to be filed by executors opting out of the estate tax, is now due January 17, 2012.
Potential presidential Republican candidates’ federal income tax proposals By Lauran Corcoran Federal Taxation, December 2011 A brief summary of the plans set forth by Rick Perry and Herman Cain.
A review of the 31st Annual National Conference of State Tax Judges By Hon. Alexander P. White State and Local Taxation, December 2011 Judge Alexander P. White highlights the events of this year's Conference, which was held on September 22. 
Illinois state and local sales tax sourcing—Will the current long standing local sales tax sourcing test be changed in Illinois? By David J. Kupiec and Natalie M. Martin State and Local Taxation, November 2011 As of the drafting of this article, this sales tax sourcing issue remains the focus of pending Illinois legislation and litigation.
A taxing endeavor: Understanding how to apply Illinois sales tax By John J. Tufano, Jr. Business and Securities Law, November 2011 The increasing spotlight upon Illinois sales tax serves as a reminder for businesses to evaluate the ways in which they conduct sales transactions and to which counties they pay the retailers' occupation tax.
IRS collection issues By William M. Gasa Federal Taxation, September 2011 A summary of the report to given to Congress addressing issues associated with IRS collection.
Recent tax-related legislation By William Seitz State and Local Taxation, September 2011 A synopsis of tax-related bills recently signed into law.
Section 7430—Awarding of costs and certain fees: Proposed technical corrections By George E. Marifian Federal Taxation, September 2011 Due to recent amendments, a current disparity in Section 7430 of the Internal Revenue Code gives rise to the result that, in practice, a taxpayer who settles an entire case in IRS Appeals even though he has received a 30-day letter, is entitled to no reimbursement.
Specific examples of why tax reform is needed By Michelle L. Heller Federal Taxation, September 2011 A summary of specific examples illustrating why tax reform is needed.
Tax Code reform By Leonard S. DeFranco Federal Taxation, September 2011 It is the belief of the Federal Tax Section Council that tax code modernization is essential for economic growth. Our collective goal is to suggest methods to effective and efficient tax practices.
Tax Web site By Donna F. Hartl Federal Taxation, September 2011  Need tax research assistance? Want free help? Look no further! The Federal Tax Section of the ISBA maintains a Web site of helpful federal, state and local tax tools that go well beyond the basic links to the Internal Revenue Code and corresponding regulations. Check us out at <>.
Business results from the fall and spring sessions By William A. Price Business Advice and Financial Planning, August 2011 Recent changes in Illinois taxes affecting business lawyers.
Lurking sales/use tax issues in performing contract installation work for big box stores By David R. Reid State and Local Taxation, August 2011 Construction contractors should include provisions in the contract to allow for reimbursement or a higher cost for services to include use tax payments.
Personal property replacement taxes and public libraries By Phillip B. Lenzini Local Government Law, August 2011 If a library existed before 1978, it should be receiving personal property tax replacement funds, either directly from the State or through its host municipality or township.
Illinois sales tax legislation enacted—Amends definition of “retailer maintaining a place of business in the state” By David J. Kupiec and Natalie M. Martin State and Local Taxation, July 2011 The law amends Section 2 of the Illinois Use Tax Act, 35 ILCS 105/2, by requiring all online retailers who contract with an “affiliate” in Illinois to collect sales tax on customer purchases beginning July 1, 2011.
Tax increment financing: A public financing tool for private redevelopment By Nancy Hyzer Real Estate Law, May 2011 The first in a series of articles exploring the creation and evolution of tax increment financing utilized by municipalities and developers over the past 34 years throughout the State of Illinois.
Estate and gift tax update By James C. Krupp Federal Taxation, April 2011 A summary of recent cases.
Income tax recent cases and rulings By Philip D. Speicher Federal Taxation, April 2011 A summary of recently decided cases relating to income tax.
Negotiating tax increment financing redevelopment agreements By Herbert J. Klein Local Government Law, April 2011 As redevelopment agreements typically exist for a number of years, care should be taken to address all known and reasonably anticipated issues in a clear and unambiguous manner. Here's a look at some of the items the agreement should address.
Proving undocumented expenses, shifting burdens and avoiding penalties: A look at audit issues By Gregory A. Zbylut Federal Taxation, April 2011 In general, once the IRS issues a notice of deficiency, that notice is presumed correct, and you’re on the hook to prove that it’s not.
Recent changes to the omitted assessment tax law By William Seitz State and Local Taxation, April 2011 A look at the amendments to Public Act 96-1553, which attempt to give taxpayers more meaningful appeal opportunities, and an opportunity to put the Cook County Assessor on notice of omitted assessments.
Tax “holiday”—Emancipation Day By Nancy Franks-Straus Federal Taxation, April 2011 Find out the reason for this year's tax deadline extension.