Articles

2008-2009 New York State Budget: Jun-09-2008 — On April 23, Governor David A. Patterson signed New York State’s 2008-2009 budget bill into law. This article summarizes the new legislation the Legislature enacted.
Updates and Practice Notes on Recent New York Developments: Jun-02-2008 — State Tax Notes
Employee Benefits Developments January 2008: Jan-16-2008
Employee Benefits Developments December 2007: Jan-16-2008 — A brief look at developments in Employee Benefits law from October and November 2007, including cases, rulings, and opinions.
Employee Benefits Developments March 2007: Mar-16-2007 — A brief look at developments in Employee Benefits law from February 2007, including cases, rulings, and opinions.
Employee Benefits Developments February 2007: Feb-21-2007 — A brief look at developments in Employee Benefits law from January 2007, including cases, rulings, and opinions.
Employee Benefits Developments January 2007: Jan-18-2007 — A brief look at developments in Employee Benefits law that happened in December 2006, including cases, rulings, and opinions.
New US Passport Rules and Expatriates: Jan-18-2007 — Beginning January 23, 2007, a US citizen travelling by air between the United States and Canada, Mexico, Central America, South America, the Caribbean, or Bermuda must present a valid US passport or Air NEXUS card to enter the United States.
Barbados on US dividend list: Dec-28-2006 — The IRS recently announced that Barbados has been formally added to the list of foreign countries that qualify for the 15 percent preferential U.S. federal tax rate on dividends paid by a foreign corporation to U.S. non-corporate shareholders.
Tax avoidance transactions and reporting requirements in New York: Dec-27-2006 — The New York State Department of Taxation and Finance recently adopted a new regulation regarding various tax avoidance transactions. Most of the reporting requirements piggyback off of federal requirements, however some are specific to New York.
IRS targets employees of foreign embassies and international organizations: Dec-15-2006 — According to the IRS, a significant number of employees and former employees of foreign embassies, foreign consular offices, and international organizations in the United States fail to fulfill their U.S. income tax responsibilities.
Employee Benefits Developments November 2006: Dec-07-2006 — A brief look at developments in Employee Benefits law for November 2006, including cases, rulings, and opinions.
Multistate tax issues: Nov-30-2006 — For Canadian companies doing business in the United States, nexus is the most talked-about issue from a US state tax perspective. Many companies fail to realize that a treaty-based exemption generally won't provide protection from state taxes.
Lenders and communities pay the price for fraudulent real estate flipping: Nov-10-2006 — Real estate fraud is one of the fastest-growing white-collar crimes in the United States, and the FBI notes that it could quickly become a national financial epidemic.
Employee Benefits Developments October 2006: Nov-09-2006 — A brief look at developments in Employee Benefits law for October 2006, including cases, rulings, and opinions.
New York real property law update 2006: Oct-18-2006 — The following article summarizes significant case law and legislative developments affecting New York real property law during the second half of 2004 and the first half of 2005.
New York real property law update 2005: Oct-16-2006 — The following article summarizes significant case law and legislative developments affecting New York real property law during the second half of 2003 and the first half of 2004.
Anti-Discrimination in Employment: Retaliation Gets Personal: Oct-12-2006 — The United States Supreme Court has substantially lowered an important barrier to proving a retaliation claim under Title VII of the Civil Rights Act of 1964, the model for most anti-discrimination in employment statutes.
Employee Benefits Developments September 2006: Oct-12-2006 — A brief look at developments in Employee Benefits law for September 2006, including cases, rulings, and opinions.
Travel concerns regarding passport requirements: Oct-09-2006 — Q: I am planning to travel outside the U.S., will I need a passport to reenter the U.S.?
New York stock option tax rules invalidated: Oct-03-2006 — The New York State Department of Taxation and Finance's defeat in a recent case promises to change significantly the way in which New York State can tax stock option income earned by nonresidents.
New York's new 'notice and demand' rules create correctable confusion: Oct-03-2006 — The New York State tax department is issuing notice and demands much more frequently. This article examines the recent law change and disucsses some of the practical problems that have arisen as a result of its enactment.
New York's revised convenience rule provides some clarity and continued controversy: Oct-03-2006 — Just when the controversy surrounding New York's "convenience of the employer" rule seemed to be all but dead, the New York State Department of Taxation and Finance gave us another reason to write about it.
Have estate docs reviewed if you move: Sep-24-2006 — Q: I recently moved from to Florida and have established my Florida residency. My neighbor tells me it is necessary to re-write my will and other estate planning documents in Florida and I am wondering whether this is so. Can you please advise me on this?
Does the right to privacy exist in the workplace?: Sep-06-2006 — Employers are well within their legal rights to monitor employees' computer usage, internet use, and voicemail, provided they first take some precautionary steps.
Seven steps before saying, 'You're fired': Sep-01-2006 — Businesses can incur substantial expenses and be exposed to significant potential or actual liability if appropriate termination procedures and policies are not in place.
Temporary inversion regs: Aug-31-2006 — The new regs are Treasury's second round of guidance on the scope of the inversion rules and offer welcome clarification on what constitutes an "indirect" acquisition of substantially all of the assets of a domestic corporation or partnership.
Refund opportunity for nonresidents with stock option income: Aug-29-2006 — A recent New York Tax Appeals Tribunal ruling may present a refund opportunity for nonresidents who paid tax to New York on stock option income using the “grant-to-exercise” rule.
Employee Benefits Developments August 2006: Aug-24-2006 — A brief look at developments in Employee Benefits law for August 2006, including cases, rulings, and opinions.
Office romances may touch the heart, but enflame employer liability: Aug-24-2006 — Employers may face workplace disruptions and exposure to legal liability when workplace relationships go awry.
Former NY residents find it’s not easy to leave the Big Apple behind: Aug-21-2006 — Q: Since moving to Florida five years ago friends have told us that the only thing we need to worry about is making sure we are not in New York for more than six months a year. How can we be sure we will not get trapped by the New York tax auditors?
New law increases strictness and severity of publication requirements for LLEs and LPs: Aug-17-2006 — Businesses are strongly encouraged to consult with their lawyers and carefully analyze these new provisions and consider the impact upon entities they form.
New York State sales tax issues for the construction contractor: Aug-01-2006 — State sales taxes are tricky, especially in the construction industry, and New York is no exception.
Applying out-of-state taxes to retirement stock options: Jul-31-2006 — Q: I retired and moved to Florida two years ago. My old New York employer had issued stock options to me when I worked in New York, and I plan to exercise them this year. Since I live in Florida, will I have New York taxes on the stock option income?
Portfolio debt and partnerships: Jul-31-2006 — To help US companies raise capital, the United States provides tax incentives to encourage foreign investment in the US marketplace.
Employee Benefits Developments July 2006: Jul-28-2006 — A brief look at developments in Employee Benefits law for July 2006, including cases, rulings, and opinions.
Governor vetoes bill that would have shifted the burden of proof in special education hearings back on school districts: Jul-28-2006 — The Supreme Court ruled the IDEA places the burden of proof in special education hearings on the party seeking relief. Prior to the Schaffer decision in New York, the burden of proof was on the school district.
New York State Property Tax Rebate Program: Jul-13-2006 — New York State homeowners can expect increased tax savings in the form of either a rebate or a tax credit later this year.
2006-07 New York State Budget: Jul-12-2006 — The New York State Legislature recently voted to override Governor Pataki’s veto of the original budget legislation. This article summarizes the new legislation the Legislature enacted.
Employee Benefits Developments June 2006: Jul-06-2006 — A brief look at developments in Employee Benefits law for June 2006, including cases, rulings, and opinions.
FDIC increases protection for retirement funds: Jun-30-2006 — The new rules, however, do not insure non-retirement accounts at the same institution.
New FIRPTA guidance: Jun-30-2006 — New IRS regs revise rules for inbound and foreign-to-foreign asset reorganizations involving the transfer of US real property interests (USRPIs) pursuant to the Foreign Investment in Real Property Tax Act (FIRPTA).
Residency audits may challenge “former” New Yorkers: Jun-30-2006 — The 183-day rule is just the beginning. Are you still a New York State resident? The New York State Department of Taxation and Finance may not agree with your answer.
Employee Benefits Developments May 2006: Jun-09-2006 — A brief look at developments in Employee Benefits law for May 2006, including cases, rulings, opinions and more.
PFIC lookthrough ruling: May-31-2006 — The IRS has interpreted favourably the lookthrough rule for 25 percent owned subsidiaries of foreign (non-US) corporations.
Municipal Law Alert: Ad valorem taxes against utility properties: May-19-2006 — A recent decision from New York’s highest court suggests that towns may now have increased latitude in levying special ad valorem taxes against utility properties.
Reducing litigation risks in US business transactions: May-18-2006 — A failed deal is bad enough; having to contend with the expense and uncertainty of litigation can be a catastrophe. This is even more so for cross-border transactions, given the marked differences between the Canadian and U.S. legal systems.
Employee Benefits Developments April 2006: May-12-2006 — A brief look at developments in Employee Benefits law for April 2006, including cases, rulings, opinions and more.
Corporate inversions update: Apr-28-2006 — Three recent proposals clarify and modify the US corporate inversion tax rules enacted in 2004. The rules affect a wide range of cross-border transactions, including transfers of certain US-situs property to Canadian holdcos to avoid US estate tax.
Employee Benefits Developments March 2006: Apr-13-2006 — A brief look at developments in Employee Benefits law for March 2006, including cases, rulings, opinions and more.
Employee Benefits Developments February 2006: Mar-01-2006 — A brief look at developments in Employee Benefits law for February 2006, including cases, rulings, opinions and more.
Final US regs: Foreign mergers: Feb-28-2006 — The IRS has adopted final regs governing the type of transaction necessary to establish tax-free reorganizations under Code section 368. Tax-free statutory mergers or consolidations can now be effected under foreign law and can involve foreign entities.
Employee Benefits Developments January 2006: Feb-03-2006 — A brief look at developments in Employee Benefits law for January 2006, including cases, rulings, opinions and more.
Final and Temporary PFIC Regs: Feb-01-2006 — On December 8, 2005, the IRS issued final, temporary, and proposed regulations providing guidance for taxpayers that continue to be subject to the passive foreign investment company (PFIC) excess distribution regime of IRC § 1291.
Antitrust Alert: HSR Size of Deal Thresholds Raised: Jan-27-2006 — The Federal Trade Commission announced on January 18, 2006, the revised size thresholds for the deals that must be submitted under the Hart-Scott-Rodino Antitrust Improvements Act (Act).
Tax Alert: Corporate Inversions—Recent US Tax Developments: Jan-23-2006 — The U.S. enacted new “corporate inversion” tax rules in 2004 that affect a wide range of cross-border transactions. Two recent U.S. tax developments may clarify and modify certain aspects of these rules.
Employee Benefits Developments December 2005: Jan-12-2006 — A brief look at developments in Employee Benefits law for December 2005, including cases, rulings, opinions and more.
Tax Alert: Erie County Sales Tax Rate Increase: Jan-12-2006 — Effective January 15, the local sales tax rate in Erie County, NY will increase to 4.75 percent. This local rate increase will bring the combined sales tax rate to 8.75 percent. This new rate will remain in effect through November 2007.
The Imposition of Unlimited Liability On Limited Partners and Members of LLCs in New York: Dec-07-2005 — According to the interpretation of the sales tax statute by the NYS Dept. of Taxation and Finance, there is no limit whatsoever to the liability of a limited partner or LLC member for the sales and use taxes that should have been collected by the entity.
Benefits Alert - Deferred Compensation Under 409A: Action Items: Dec-02-2005 — Proposed regulations addressing the application of IRC § 409A to nonqualified deferred compensation have been issued. This benefits alert identifies those actions that must be taken before the end of 2005 and offers an action plan for 2006.
IRS: Abusive USRPI Transactions: Dec-01-2005 — In its continuing quest to stop tax abuse, the IRS recently outlined two types of US real property transactions involving foreign (non-US) persons that the IRS views as abusive transactions designed to circumvent the US withholding tax.
US-Mexico: Transparencies: Nov-01-2005 — The United States and Mexico have agreed on when treaty benefits extend to a fiscally transparent entity formed under the laws of either country.
Ten Tips to Prevent Identity Theft: Oct-15-2005 — This article includes ten tips for companies seeking to avoid incidences of identity theft as well as civil liability for such incidences.
Cross-Border Income Securities: Oct-01-2005 — Income trusts have become popular with US companies that make Canadian public offerings. New variations may be more attractive to Canadian investors.
Professional Compensation Is a Gamble in Chapter 11: Aug-11-2005 — This article by Hodgson Russ partner Garry M. Graber was originally published in The Journal of Corporate Renewal, April 2005. Reprinted with permission.
‘What Do You Mean I Paid for It, but Don't Own It?’: Jul-25-2005 — With more and more business activity involving the creation of important work product that can be protected with a copyright, there needs to be more awareness of how ownership of works made for hire is treated.
Cross-Border Estate Planning Basics: Jul-25-2005 — Canadian residents who acquire property located or deemed to be located in the United States are subject to potential U.S. estate tax on the value of that property owned at death.
Planning for Beneficiaries With Special Needs: Jul-25-2005 — Planning for beneficiaries with special needs requires special attention and special drafting of estate planning documents.
Think Small—Really Small: Jul-25-2005 — Nanotechnology is the science of creating and manipulating very small things. The impact of nanotechnology can be astronomical, and the ability to obtain patents in this arena is central to the magnitude of that impact.
New York Tax Appeals Tribunal Issues Stock-Option Decision: Jul-22-2005 — The New York State Tax Appeals Tribunal has rejected New York's long-standing policy on the treatment of a nonresident's stock-option income.
IRS issues new regulations for partnership withholdings: Jul-14-2005 — This article by Hodgson Russ associate Marla Waiss was originally published in The Buffalo Law Journal, vol. 77, no. 56, July 14, 2005. Reprinted with permission.
Some thoughts about costs in international arbitration: Jul-08-2005 — Reprinted with permission from International Arbitration News, Summer 2003
US Partnership Withholding Regs: Jul-01-2005 — The IRS issued final and temporary regs regarding a US partnership’s obligation to withhold tax under Code section 1446 on effectively connected income allocable to a foreign partner.
Second Circuit Update: Jun-06-2005 — A brief review of recent notable decisions from the Second Circuit, including cases involving arbitration, electronic privacy, securities litigation, and trademark and copyright infringement.
Plot to Defraud the CRA: US Crime: Jun-01-2005 — The US Supreme Court upheld the conviction of participants in a scheme to defraud Canada of alcohol import taxes by smuggling liquor from the US into Canada, despite the common-law revenue rule that bars enforcement in US courts of foreign revenue laws.
Section 1441 Voluntary Compliance: Apr-01-2005 — Revenue procedure 2004-59 sets out procedures for a temporary voluntary compliance program for tax, withholding, and reporting obligations applicable to withholding agents in connection with payments to foreign persons.
Court of Appeals Upholds the “Convenience of the Employer Doctrine" in Matter of Huckaby: Mar-30-2005 — The Huckaby Court upheld the application of the controversial “convenience of the employer doctrine,” which in the Huckaby case was applied to tax 100% of the wages of a telecommuter who worked for a New York employer from his home in Tennessee.
A New Year’s Resolution — Time to Shape Up Your Assets: Mar-29-2005 — Your intellectual property (IP) assets are the essence of your business. They embody what your company stands for. It’s your logo, the literature and articles you’ve written, the inventions you’ve created, or the software your company has developed.
Copyright Registration for Web Sites: Mar-29-2005 — While the U.S. Copyright Office has been somewhat slow in adopting precise criteria for gaining copyright protection in Web sites, such protection is available by obtaining a “copyright registration” for the site.
Many Patents Are Now Subject to a New Ground for Attack: Mar-29-2005 — The practice of filing continuation applications has been used by patent attorneys as a part of filing strategies on behalf of their clients for many years. A recent decision by the Federal Circuit has cast a shadow over many continuation practices.
Recent Developments in Patent Claim Construction: Mar-29-2005 — The Federal Circuit is poised to address the issues of what role dictionaries and treatises should play in the claim construction process.
Proposed rules permit tax-free cross-border mergers: Mar-24-2005 — The IRS recently issued proposed regulations allowing certain mergers and consolidations effective under foreign law to qualify as tax-free A reorganizations.
Temporary Stays in New York: A New Set of Rules in Residency Audits?: Mar-21-2005 — The tax department now takes a more stringent view of the temporary assignment rules and has coupled that shift in policy with an increased focus on the issue in residency audits.
Corporate Fiduciaries, Advisors and Other "Co-Trustees" - Perhaps Your Trust Isn't Exempt From New York State Income Tax: Mar-15-2005 — New York resident trusts that were once thought to be exempt from New York income tax may now be taxable.
New Rules Governing Deferred Compensation: Mar-04-2005 — As we reported last fall, IRC § 409A imposes significant new restrictions on the design and operation of nonqualified deferred compensation plans and arrangements.
US Expatriates: Mar-02-2005 — The Jobs Creation Act of 2004, signed into law on October 22, 2004, substantially altered the expatriation tax rules (Code section 877) applicable to US citizens and long-term permanent residents who commit an expatriating act after June 3, 2004.
“A” Reorgs Embrace Forco: Mar-01-2005 — On January 5, 2005, the IRS issued proposed regulations that allow certain mergers and consolidations effected pursuant to foreign law to qualify as tax-free “A” reorganizations, if they meet certain criteria in the US law and qualify as reorganizations.
IRS on Qualified Dividends: Dec-01-2004 — In October 2004, the IRS provided guidance on the extent to which amounts received on or included in income by US individual shareholders of foreign corporations may be treated as qualified dividend income.
Business Litigation - A Cross-Border Perspective: Nov-24-2004 — Improved communications and ease of travel have made distant markets more accessible and serviceable, and the U.S. is often the first market outside Canada sought to be serviced by Canadian business.
Filing Considerations for Provisional Patent Applications: Sep-12-2004 — The filing of a U.S. provisional patent application preserves foreign filing rights in all Paris Convention countries and disclosures made after the filing will not adversely affect the ability to file foreign patent applications in those countries.
Global Trademark Strategies: The Madrid Protocol: Sep-12-2004 — Trademark owners in the United States seeking to extend their brands outside U.S. borders now have a relatively new mechanism for protecting their valuable intellectual property.
Reach-Through Claims Declared Invalid: Sep-12-2004 — “Reach-through” claims refer to claims for products or uses for products when experimental data is provided for screening methods or tools for the identification of such products.
UN Sale of Goods Convention: Dec-16-2003 — By Benjamin M. Zuffanieri, Jr. and Joshua I. Feinstein At least in North America, the CISG may be a trap for the unwary - a set of only partially tested and poorly understood rules which courts neither uniformly nor predictably apply.
Louis Sullivan's Guaranty Building: Feb-17-2003 — The Guaranty Building, completed in 1895, is recognized as one of the masterpieces of Louis Sullivan, probably the most important American architect of the 19th century and acknowledged today as the “Father of the Skyscraper.”