The geographical reach of the firm’s client base means our clients are constantly encountering state and local income tax, franchise tax, gross receipts tax and sales and use tax issues and assessments in all corners of the nation. When faced with these tax issues, our clients turn to us for help.
Our multistate tax practice attorneys counsel clients on transactional matters and tax planning and have successfully represented clients in state tax audits, administrative appeals and litigation in departments of revenue, administrative agencies and courts throughout the U.S. Our tax practice is nationally recognized for its comprehensive knowledge, creativity and experience with complicated state tax nexus, apportionment, tax credit, sales and use tax exemption and procedural issues, to name a few.
Our attorneys typically get involved in income tax, franchise tax, gross receipts tax, sales and use tax and unclaimed property disputes at the audit stage, and many of these matters have been resolved without the need for litigation. However, as states’ appetites for revenue are undiminished, our clients recognize the importance of drawing on the litigation skills of our tax attorneys to “build the record” in case an administrative appeal or litigation becomes necessary. We also regularly help clients initiate litigation in state courts that challenge the constitutionality of state laws and the manner in which state tax agencies enforce those laws.
Unclaimed Property
One issue that many businesses, both large and small, frequently overlook is compliance with state abandoned property laws. All states have laws requiring businesses to report and remit unclaimed property, such as uncashed payroll checks, unclaimed payments, overpayments, refunds or credit balances involving vendors, suppliers or customers, unclaimed dividends and securities, unredeemed gift certificates or merchandise coupons, and unidentified remittances.
The state takes custody of this unclaimed property until the owner (if ever) claims it from the state. With heightened scrutiny of corporate accounting, the requirements of the Sarbanes-Oxley Act and the continued peril of multistate audits conducted by contingency fee audit firms, it is critical that businesses minimize their exposure to state unclaimed property claims that could impact their operations and financial results.
The firm has a nationally recognized unclaimed property practice. We represent both publicly traded and privately held clients in unclaimed property audits, administrative investigations and litigation involving all states. The practice helps clients determine whether their business operations are producing unclaimed property liabilities and how those operations can be restructured to minimize their unclaimed property exposure.
We also negotiate amnesty and voluntary compliance agreements with state abandoned property administrators. Our attorneys frequently provide unclaimed property opinion letters to help clients make adjustments to reserves and resolve other issues with their public accountants. In addition, we use our significant knowledge and experience with unclaimed property laws and all the major state administrators and contract auditors to successfully resolve our clients’ unclaimed property issues.