Vinson & Elkins’ Post

An interesting tax lens on the recent US supreme court decision regarding a federal agency's "reasonable interpretation" of statutes, click the link to read the full analysis. https://okt.to/NRInyu #taxalert #nationaltax #legalupdate

On June 28, 2024, the U.S. Supreme Court made a significant ruling in the 𝘓𝘰𝘱𝘦𝘳 𝘉𝘳𝘪𝘨𝘩𝘵 case, overturning the longstanding 𝘊𝘩𝘦𝘷𝘳𝘰𝘯 doctrine. This decision changes the landscape of administrative law by questioning the level of deference given to tax regulations in light of this new ruling. For more detailed insights from our experts, click the link to read the full analysis. https://okt.to/iFgsaV #taxalert #nationaltax #legalupdate

Curious about the Supreme Court's recent ruling on the Chevron Doctrine and what it means for federal agency authority and tax regulations? Head over to our blog to read more about this decision and its potential implications.

SI VIS PACEM, PARA BELLUM! Translated from Latin to mean: “If you want peace, [you should] prepare for war”. Quoted in the context of engagements between taxpayers and SARS. See this opinion piece by Simon Weber and I giving a different perspective on Taxpayers’ dealings with SARS - it is different from the advice provided by a commentator in an opinion piece published in the Business Times a few weeks ago. #SARS #Tax #Taxdisputes #TaxControversy #Taxlitigation #taxpayerrights

Excited to share that our firm partner, Warren Dubitsky, has offered his expert insights in a Bloomberg Tax article by Danielle Muoio Dunn. The article discusses the potential outcomes and implications of the New York Court of Appeals’ decision. #HermanKatz #BloombergTax #NYCourtAppeals #LegalInsights #TaxLawExperts #LawAndPolicy #LegalCommentary #TaxImplications #NewYorkLaw

On June 24, join BakerHostetler’s Tax Group Chair, Jeffrey Paravano, and Appellate and Major Motions team Co-Leader Andrew Grossman, for a timely webinar discussing the Supreme Court’s tax decision in Moore v. United States and related potential implications for all taxpayers. Register here. #BHEvent #Tax #SupremeCourt

Big tax news coming out of the Supreme Court. Join our tax experts as they break down exactly what this decision means going forward.

🔥 📰 This week the U.S. Court of Appeals for the Eleventh Circuit, affirming the district court decision, held that Notice 2017-10 (designating certain syndicated conservation easement transactions as “listed transactions” promoting tax avoidance) was 🛑 𝐩𝐫𝐨𝐩𝐞𝐫𝐥𝐲 𝐬𝐞𝐭 𝐚𝐬𝐢𝐝𝐞 (for Green Rock) for 𝐧𝐨𝐧𝐜𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞 with the Administrative Procedure Act’s (#APA) notice-and-comment requirement.🛑 Now, I need help in properly ordering my fav excerpts from this week’s decision.  I'll give it a shot, but feel free to share a different order (or add ones I missed) in the comments 👇. From Bestest to Best: 1. "An agency regulation alone cannot displace the notice-and-comment requirements of the Administrative Procedure Act." [🎤 👇] 2. "That the Service's textual argument hinges on the prepositions 'as' and 'under' only highlights the lack of any explicit reference to notice-and-comment procedures in section 6707A." [🎤 👇- 😂 prepositions rule ] 3. "But when it comes to the Administrative Procedure Act, the presumption of acquiescence is not enough—something more is needed to overcome 'expressly' the requirements of the Act." [🎤 👇] 4. The Revenue Code does not expressly or otherwise exempt the listing of transactions from the Administrative Procedure Act. [🎤 👇] 5. Because the notice was a legislative rule and Congress did not expressly exempt the Service from notice-and-comment rulemaking, Notice 2017-10 is not binding on Green Rock. [🎤 👇] 𝘎𝘳𝘦𝘦𝘯 𝘙𝘰𝘤𝘬 𝘓𝘓𝘊 𝘷. 𝘐𝘙𝘚 (11th Cir. June 04, 2024).   #ERC -- it's your turn #taxplaining

The recent “Mekotex judgment” by the Hon'ble Supreme Court reaffirms crucial legal principles regarding retroactive legislation and vested rights in tax matters. The Court clarified that legislative bodies hold the authority to enact laws with retroactive effect, impacting past transactions and even revoking vested rights. Notably, the Court emphasized that a vested right, like a claim of credit under section 65B of the Income Tax Ordinance 2001, only "crystallises" as a past transaction upon filing a claim, not automatically. Furthermore, the judgment addressed the protection of taxpayers post an amendment, stating that those without acquired vested rights prior to the 2019 amendment are not safeguarded. Expertly delineating categories of taxpayers, the Court's decision sheds light on the intricate nuances of tax legislation. Significantly, the Court clarified its stance on the Multiline Case Judgment, stressing that a Bench is not bound to adhere to the findings of a similarly sized Bench. Each Bench is entrusted to apply independent judgment, with discrepancies warranting referral to the relevant judicial authorities for resolution. #taxlaws #vestedrights #disputeresolution #taxlitigation

The US Supreme Court abandonment of a legal doctrine empowering federal regulators is triggering many in the tax industry to rethink how they advise clients. The high court overturned the Chevron doctrine, which said that federal courts should defer to reasonable agency interpretations of vague laws, in Loper Bright Enterprises v. Raimondo on June 28. The 6-3 ruling followed conservatives’ calls to completely do away with the principle, arguing it gave federal agencies too much power. Liberals argued Chevron allowed agencies with technical expertise to fill in the gaps in laws. It’s too early to say what the decision means for how the IRS writes and issues regulations and guidance, but taxpayers are beginning to navigate a post-Chevron environment—with more tax disputes ahead.