Federal
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March 28, 2025
Weekly Internal Revenue Bulletin
The Internal Revenue Service's weekly bulletin, issued Friday, included the updated corporate monthly yield bond curve.
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March 27, 2025
LA Investor Loses Bid To Recoup Damages From IRS Seizure
A Los Angeles investor lost a bid in California federal court Thursday to recoup more than $500,000 in damages that, he said, stemmed from the IRS' unlawful seizure of his assets to pay off a $7.2 million late-filing penalty.
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March 27, 2025
Pfizer Tops Pharma Tax Avoidance, Senate Dems Say
Pharmaceutical giant Pfizer had no taxable profits in its largest market, the U.S., after booking all its income in jurisdictions including Puerto Rico, Singapore and Ireland, according to a Senate Finance Committee report prepared by panel Democrats that was released Thursday.
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March 27, 2025
Ex-Atty Ran $840M Tax Evasion Scheme, DOJ Says
A former tax and real estate attorney ran a nationwide scheme that helped his customers avoid paying taxes on as much as $840 million in capital gains, the federal government told an Idaho federal court Thursday.
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March 27, 2025
US Ranked Low At Fighting Real Estate Money Laundering
The U.S. is the third-worst country when it comes to fighting money laundering in real estate because of a lack of regulations, according to a report ranking the national markets of 24 countries.
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March 27, 2025
Final APAs Dipped Slightly From 2023 Record High, IRS Says
The Internal Revenue Service finalized slightly fewer advance pricing agreements for U.S. multinational corporations in 2024 following a record high in the previous year, according to an agency report released Thursday.
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March 27, 2025
Payroll Co. Hid IRS Interest Money From Clients, Court Told
A payroll provider for a maintenance company never passed along interest payments from the Internal Revenue Service related to its clients' pandemic-era relief claims, the company alleged in a proposed class action filed in Washington federal court.
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March 27, 2025
9th Circ. Won't Stay Injunction Compelling Fed. Worker Rehire
A split Ninth Circuit panel has refused to block an injunction compelling the Trump administration to reinstate about 16,000 probationary employees to six federal agencies, saying the administration will likely lose its argument that the agencies weren't acting on an order from above when they fired the workers.
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March 27, 2025
NFTC Keeps Pushing For Standardized Pillar 2 Reporting
The National Foreign Trade Council reiterated its request for the OECD to ensure a standardized approach to acquiring the cross-jurisdiction information required for Pillar Two global minimum tax returns, noting its members still have confidentiality concerns.
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March 26, 2025
Sotomayor Urges Caution On Nondelegation Doctrine Revamp
U.S. Supreme Court Justice Sonia Sotomayor cautioned her colleagues during oral arguments Wednesday against using a challenge to the Federal Communications Commission's administration of a broadband subsidy program as a way to resurrect the long-dormant nondelegation doctrine. Several conservative justices, however, seemed willing to disregard that admonition.
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March 26, 2025
Senate Sends Repeal Of Crypto Broker Rule To Trump
The Senate passed legislation Wednesday that would repeal a final U.S. Treasury Department rule implementing additional reporting requirements for decentralized finance brokers such as cryptocurrency platforms, sending the resolution to President Donald Trump's desk to sign.
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March 26, 2025
Coalition Says Trump Admin Flouted Federal Rehiring Order
The Trump administration responded to an injunction compelling it to rehire over 15,000 fired probationary employees by placing them on leave, not bringing them back to work, a coalition of advocates for the workers told a California federal judge Wednesday, saying the administration hasn't complied with the injunction.
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March 26, 2025
Par Funding's Ex-CEO Gets 15½ Years For Racketeering, Fraud
Par Funding ex-CEO Joseph LaForte was sentenced to 15½ years in prison Wednesday for his role in running a $404 million racketeering conspiracy that prosecutors said involved him bilking the cash advance business's investors and threatening its borrowers with violence if they didn't pay up.
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March 26, 2025
Tax Court Erred In Ex-Braves' Easement Feud, 11th Circ. Told
Two former Atlanta Braves players reupped their arguments before the Eleventh Circuit that the U.S. Tax Court made grave errors in a case that slashed their conservation easement value, saying the federal government's failure to address those missteps shields the issues from legal scrutiny.
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March 26, 2025
Feds Seek 2 Years For Device-Maker's $2.4M Tax Evasion
A Floridian who made millions of dollars on medical devices and pled guilty to evading $2.4 million in taxes should be sentenced to between 24 and 30 months in prison for tax evasion based on the severity of his offense, the U.S. told a federal court Wednesday.
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March 26, 2025
Senate Approves Trump's Pick For Deputy Treasury Secretary
The Senate approved President Donald Trump's nomination of Michael Faulkender to the post of deputy secretary of the U.S. Treasury Department on Wednesday, sending the economist back to the agency for a second tenure.
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March 26, 2025
Engineering Co. Owner Can't Deduct His Time, Tax Court Says
The owner of a Colorado engineering company cannot deduct the value of the time he spent working on software without showing any amounts actually paid, the U.S. Tax Court ruled Wednesday in upholding the majority of $135,000 in tax deficiencies, plus penalties, against the owner.
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March 26, 2025
Ex-UBS North America CEO's $4.9M FBAR Deal Gets OK
The former North American CEO for Swiss bank UBS will pay a $4.9 million judgment under a deal approved by a Connecticut federal court Wednesday that resolves the U.S. government's suit alleging he willfully neglected to file foreign bank account reports with the IRS for a decade.
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March 26, 2025
Goldstein's Devices Must Be Monitored, Judge Affirms
A Maryland federal judge on Tuesday rejected U.S. Supreme Court lawyer and SCOTUSblog publisher Tom Goldstein's request to dismiss a bail condition that requires his electronic devices to be monitored out of concerns that he's been hiding millions in cryptocurrency from the government and could flee while facing tax evasion charges.
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March 26, 2025
Justices Rule Ch. 7 Trustee Can't Recover Tax Payments
The U.S. Supreme Court on Wednesday reversed a Tenth Circuit decision allowing the bankruptcy trustee of a defunct Utah company to claw back $145,000 in federal taxes, saying the sections of the Bankruptcy Code relied upon by the trustee provide only a limited waiver of sovereign immunity.
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March 25, 2025
IRS Cuts May Delay Taxpayer Help Beyond 2025 Filing Season
IRS staff cuts and early retirements, driven by the White House's push to shrink government, will likely lead to longer phone hold times and reduced service and make it harder for taxpayers to get assistance for the remainder of the 2025 tax return filing season and beyond.
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March 25, 2025
Md. Bank Disputes IRS Denial Of Captive Tax Perk
A Maryland community bank is contesting in the U.S. Tax Court the Internal Revenue Service's decision to scrap two years' worth of tax deductions tied to a reinsurance captive, disputing the agency's findings that the arrangement had no economic purpose other than tax avoidance.
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March 25, 2025
Californian Must Allocate Half Of Income To Husband
A woman who filed returns separately from her husband must allocate half her income to him under California community property law, the U.S. Tax Court ruled Tuesday, determining the husband did indeed live in the state.
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March 25, 2025
AICPA Suggests Changes To IRS Retirement Enrollment Rules
Final Internal Revenue Service and U.S. Department of the Treasury rules establishing automatic enrollment requirements for certain retirement plans should clarify that investment requirements are not applicable to certain plans, the American Institute of CPAs said in a letter released Tuesday.
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March 25, 2025
Tax Court Affirms Captive Insurance Premiums Nondeductible
Shareholders in a California company cannot deduct their premium payments for insurance coverage from a captive insurer, the U.S. Tax Court ruled Tuesday, saying the arrangement did not constitute insurance for federal tax purposes.
Expert Analysis
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6 Changes I Would Make If I Ran A Law School
Reuben Guttman at Guttman Buschner identifies several key issues plaguing law schools and discusses potential solutions, such as opting out of the rankings game and mandating courses in basic writing skills.
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Firms Still Have The Edge In Lateral Hiring, But Buyer Beware
Partner mobility data suggests that the third quarter of this year continued to be a buyer’s market, with the average candidate demanding less compensation for a larger book of business — but moving into the fourth quarter, firms should slow down their hiring process to minimize risks, say officers at Decipher Investigative Intelligence.
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Congress Should Expand Investment Options For 403(b)s
Lawmakers should pass pending legislation to give 403(b) plan participants access to collective investment trusts, leveling the playing field for public sector retirement investors by giving them an investment option their private sector counterparts have had for decades, says Jason Levy at Great Gray Trust Company.
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Think Like A Lawyer: 1 Type Of Case Complexity Stands Out
In contrast to some cases that appear complex due to voluminous evidence or esoteric subject matter, a different kind of complexity involves tangled legal and factual questions, each with a range of possible outcomes, which require a “sliding scale” approach instead of syllogistic reasoning, says Luke Andrews at Poole Huffman.
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Think Like A Lawyer: Note 3 Simple Types Of Legal Complexity
Cases can appear complex for several reasons — due to the number of issues, the volume of factual and evidentiary sources, and the sophistication of those sources — but the same basic technique can help lawyers tame their arguments into a simple and persuasive message, says Luke Andrews at Poole Huffman.
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Gardening Makes Me A Better Lawyer
Beyond its practical and therapeutic benefits, gardening has bolstered important attributes that also apply to my litigation practice, including persistence, patience, grit and authenticity, says Christopher Viceconte at Gibbons.
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Litigation Inspiration: Reframing Document Review
For attorneys — new ones especially — there is much fulfillment to find in document review by reflecting on how important, interesting and pleasant it can be, says Bennett Rawicki at Hilgers Graben.
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Rank-And-File DOJ Attorneys Will Keep Calm And Carry On
Career prosecutors at the U.S. Department of Justice often pride themselves on their ability to remain apolitical in order to ensure consistency and keep the department’s mission afloat, and the incoming Trump administration is unlikely to upend this tradition, says Michael Landman at Bird Marella.
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What Higher Education Can Expect From A 2nd Trump Admin
The election of Donald Trump for a second presidential term has far-reaching ramifications for colleges and universities — come January, institutions can expect a crackdown on DEI, increased scrutiny of campus protests, a rollback of the Biden administration's Title IX rules and more, say attorneys at Jenner & Block.
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3 Ways To Train Junior Lawyers In 30 Minutes Or Less
Today’s junior lawyers are experiencing a skills gap due to pandemic-era disruptions, but firms can help bring them up to speed by offering high-impact skill building content in bite-sized, interactive training sessions, say Stacey Schwartz at Katten, Diane Costigan at Winston & Strawn and Lauren Tierney at Freshfields.
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Expect Surging Oil And Gas Industry Under New Trump Admin
Throughout his recent campaign, President-elect Donald Trump promised increased oil and natural gas production and reduced reliance on renewables — and his administration will likely bring more oil and gas dealmaking, faster federal permitting and attempts to roll back incentives for green energy, say attorneys at Sidley.
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The Bar Needs More Clarity On The Discovery Objection Rule
Almost 10 years after Federal Rule of Civil Procedure 34 was amended, attorneys still seem confused about what they should include in objections to discovery requests, and until the rules committee provides additional clarity, practitioners must beware the steep costs of noncompliance, says Tristan Ellis at Shanies Law Office.
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Cos. Should Inventory Issues To Prep For New Congress
As the legislative and oversight agendas of the 119th Congress come into sharper focus, corporate counsel should assess and plan for areas of potential oversight risk — from tax policy changes to supply chain integrity — even as much uncertainty remains, say attorneys at WilmerHale.