Arthur R. Rosen Arthur R. Rosen

Subscribe to Arthur R. Rosen's Posts
Arthur R. Rosen focuses his practice on tax planning and litigation relating to state and local tax matters for corporations, partnerships and individuals. Formerly the deputy counsel of the New York State Department of Taxation and Finance, as well as counsel to the governor's Temporary Sales Tax Commission and tax counsel to the New York State Senate Tax Committee, Arthur has also held executive tax management positions at Xerox Corporation and AT&T. He has worked in accounting and law firms in New York City. Read Arthur Rosen's full bio.

Taxation Vexation

By on Feb 17, 2015
Posted In Nationwide Importance, Transaction Taxes

In this article, McDermott partner Arthur R. Rosen interviews Art Rosen, whom he claims to “know quite well,” about vexing state tax litigation.  One instance that he found troubling came after he and two other taxpayer representatives presented their explanation of a case during a settlement hearing, only to have a Department of Revenue representative...

Continue Reading

Texas Comptroller Defies the Laws of Physics

By on Dec 22, 2014
Posted In Constitutional Issues, Nexus, Sales Tax, Texas

In this article, the authors examine a recent Texas administrative law judge’s opinion that says an out-of state company has nexus with Texas through downloaded software that it licenses to Texas customers.  They argue that the state comptroller’s adoption of the decision allows sales and use tax liability to be based on economic nexus instead...

Continue Reading

Lame-Duck Congress Mulls Laws to Ease State Tax Headaches

By on Dec 8, 2014
Posted In Constitutional Issues, Income Tax, Nationwide Importance, Nexus, Sales Tax, Transaction Taxes

As it heads into the final weeks of its session, Congress is considering various bills that would restrict or expand states’ taxing authority. Almost every business in the country would be affected by at least some of these bills.  While some of these bills have progressed further than others, any could become law—particularly if bundled...

Continue Reading

New Jersey Tax Court Finds Two Pennsylvania Taxes Are Not Required To Be Added Back

By and on Oct 31, 2014
Posted In Income Tax, New Jersey, Sales Tax, Tax Base

In a Corporation Business Tax (CBT) case, PPL Electric Utilities Corporation v. Director, Division of Taxation, Dkt. No. 000005-2011 (N.J. Tax. Ct. Oct. 2, 2014), the Tax Court of New Jersey found for the taxpayer and held that the Pennsylvania Gross Receipts Tax and Pennsylvania Capital Stock Tax were not required to be added back in...

Continue Reading

New Jersey Division of Taxation’s 2014 Tax Resolution Initiative – Not To Be Confused With An Amnesty

By and on Oct 30, 2014
Posted In Income Tax, New Jersey, Property Tax, Tax Base

The New Jersey Division of Taxation (Division) is trying to help taxpayers resolve unpaid tax liabilities for tax periods 2005 through 2013.  Through November 17, 2014, the Division is offering taxpayers that pay all tax and interest for the applicable periods a waiver of most penalties (but not penalties related to the 2009 amnesty) and any...

Continue Reading

Illinois Appellate Court’s Expansive Interpretation of a Taxing Ordinance Swallows a Sale for Resale Exemption

By on Jul 30, 2014
Posted In Constitutional Issues, Illinois, Local Tax, Nexus, Sales Tax, Tax Base

The First District of the Illinois Appellate Court, in Ford Motor Company v. Chicago Department of Revenue, 2014 IL App (1st) 130597 (June 27, 2014), recently held that Ford Motor Company (Ford) owes City of Chicago vehicle fuel tax on 100 percent of the fuel it purchased and dispensed into the tanks of cars it...

Continue Reading

If At First You Don’t Succeed, Try, Try Again: Illinois General Assembly Sends Revised Version of Click-Through Nexus Law to the Governor for Signature

By and on Jul 30, 2014
Posted In Constitutional Issues, Illinois, Nationwide Importance, Nexus, Sales Tax, Transaction Taxes

In 2011, Illinois became one of the first states to follow New York’s lead by enacting “click-through nexus” legislation.  The Illinois law created nexus for any out-of-state retailer that contracted with a person in Illinois who displayed a link on his, her or its website that had the ability to connect an Internet user to...

Continue Reading

The Vermont Department of Taxes Begins to Take a Close Look at Cloud Computing

By and on Jul 29, 2014
Posted In Sales Tax, Vermont

On June 30, 2013, the Vermont sales tax moratorium on remote access to software expired.  At that time, the Vermont Department of Taxes (Department) reverted to its prior position that interpreted, without any analysis, the Vermont sales tax to apply to prewritten software that was “licensed for use and available from a remote server.”  Recently,...

Continue Reading

Tax Reform in New York: Implications for Corporate America

By on Jul 17, 2014
Posted In Allocation/Apportionment, Constitutional Issues, Income Tax, New York, Nexus, Tax Base

The corporate tax reform portion of the New York State 2014–15 Budget Bill resulted in major changes for virtually all corporations—even many that are not currently New York taxpayers.  In this video (produced by SmartPros), McDermott partners Arthur Rosen, Maria Eberle, Lindsay LaCava and Leah Robinson will discuss the implications of New York State’s sweeping...

Continue Reading

New Jersey Tax Court Issues Important Order on the State’s Throw Out Rule

By and on Sep 9, 2013
Posted In New Jersey, Nexus, Sales Tax

The Tax Court of New Jersey recently issued an important order that may have eviscerated the impact of the Throw Out Rule on intangibles holding companies.  On its face the order does not appear to address the application of the Throw Out Rule to traditional operating businesses, however the “bottom line” of the order should...

Continue Reading