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SALT Blawg – State and Local Tax Blog

State and Local Tax ("SALT") blog issues require state and local tax knowledge. Chamberlain Hrdlicka's SALT Blawg (SALT Blog) provides exactly that knowledge with news updates and commentary about state and local tax issues.

You can expect to find relevant information about topics such as income (corporate and personal) tax, franchise tax, sales and use tax, property (real and personal) tax, fuel tax, capital stock tax, bank tax, gross receipts tax and withholding tax. SALT Blawg, offers tax talk for tax pros … in your neighborhood.

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Posts tagged Texas Margin Tax.

 by William Grimsinger

On Monday, November 28, 2011, the Texas Supreme Court ruled that the margin tax does not violate the Texas Constitution (specifically, the Bullock Amendment at Article VIII, Section 24) because it is not a tax on the net incomes of natural partners and that the Court did not have jurisdiction to entertain an equal and uniform taxation challenge.

This decisive ruling, with seven justices in the majority and two dissenting, puts an end to speculation about the fate of the margin tax.  The margin tax will remain in place at least through 2012 and likely 2013.  However ...

Categories: Texas

The Solicitor General of the Texas Attorney General has taken the lead and on August 18, 2011 filed a short response to Allcat's petition to declare the new Texas franchise tax unconstitutional. In summary, Texas argues that (i) a tax on the income of an entity does not constitute a tax on a person’s share of that entity’s income, (ii) that the Texas Supreme Court’s ruling should be narrowed to a natural person with an interest in a limited partnership (as opposed to striking down the franchise tax in toto), and (iii) that the last two issues raised by Allcat are not properly before the ...

Categories: Franchise Tax

 by William Grimsinger

On July 29, 2011, suit was filed in the Texas Supreme Court alleging that the Texas Margin Tax is unconstitutional under the Constitution of the State of Texas because: (1) it imposes an income tax on a natural person’s share of partnership income without voter approval (contrary to the Bullock Amendment) and (2) the Comptroller’s interpretation of the tax violates the equal and uniform taxation clause of the Texas Constitution.

Under the original Margin Tax statute passed in 2006, any challenge to the tax statute must be brought in the Texas Supreme Court ...