As another week comes to a close, our team is here to bring you another roundup of tax highlights, this time on budding cannabis businesses, GILTI tax and credit consolidation.
The United States Supreme Court decided yet again not to intervene in a federal income tax case. This time the issue was enforcement of the tax code section that disallows certain tax deductions to businesses that sell federally controlled substances. While the sale of marijuana is legal in many states, it’s still a violation of federal law.
Recognizing that aspects of the international tax regime can be unnecessarily complicated, the Internal Revenue Service (“IRS”) issued Revenue Procedure 2021-26 (the “Rev. Proc.”) providing relief for taxpayers that own 10 percent or more of a Controlled Foreign Corporation (“CFC”).
According to New York State (NYS), it’s not always in your best interest to apply an overpayment of tax to the next year. Sure it gives the state access to extra cash and saves money in processing refunds, but sometimes that isn’t what it wants.