• Abstract and Figures
• Public Full-text

February, 2000 Vol. 28, No. 21 TABLE OF CONTENTS The Chair's Message...................................................................................................................................................1 John Brusniak, Jr. The Editor's Message..................................................................................................................................................2 Gene Wolf CLE Calendar..............................................................................................................................................................2 Property Tax Law Development ..................................................................................................................................3 John Brusniak, Jr. Regulatory Developments under Subchapter C..........................................................................................................5 Ronald D. Kerridge So Your Company or Your Corporate Client Has Been Selected for a Large Case Examination by the IRS, What Should You Do?...............................................................................................................................................11 Martin M. Van Brauman Maquiladoras Mexican Income Tax Developments...................................................................................................15 Alfonso Soto Tax Section Leadership Roster .................................................................................................................................19 Tax Section Committee Member Roster ...................................................................................................................21 Tax Section Committee Selection Form....................................................................................................................27 The name and cover design of the Texas Tax Lawyer are the property of the State Bar of Texas, Section of Taxation Texas Tax Lawyer, February, 2000 1 THE CHAIR’S MESSAGE By: John Brusniak, Jr. I suppose it is redundant to call attention to the obvious, but given the fact that we are proud of the new format of our section newsletter, I will. The new format, coupled with the changing of the name of our publication to the TEXAS TAX LAWYER is our way of demonstrating our move into the new century. Additionally, the newsletter will be coordinating with its counterparts in other Tax Sections and will be sharing articles and ideas with them. So, be on the lookout for more timely and varied articles on matters of interest from writers from across the nation. At the same time, I invite you to submit articles for publication to the TEXAS TAX LAWYER with the understanding that your article may be picked up for national distribution as well. We are currently working on setting up opportunities for members of our section to meet together with the Con- gressional leadership in Washington for open discussions on legislative issues. We also are working on setting up open channels of communication with our representatives, senators and national leaders and setting up additional opportunities for them to meet with us at our seminars and programs in Texas. We believe that such meetings, which would be open to our entire membership, will be beneficial to both us as tax practitioners as well as to our elected representatives. We ultimately hope to set up similar liaisons with our state legislators as well. We are working on bringing younger and newer members into our sections. We urge you to get young lawyers to join our section and to become active in our committees. Such new membership will insure our viability long into the 21st Century. I would like to encourage you, if you have not already done so, to check out and sign up on our Sec- tion web site. It is located at http://www.texastaxsection.org/. The page is constantly evolving. Currently, there are numerous tax research articles from seminars and programs at your disposal, information on our committees and committee projects, calendars of upcoming continuing legal education programs and a bulletin board where you may post your questions for response by other members of the section. Clearly, the internet is the developing research tool of the future, and we intend to evolve and develop with it. As officers of the section, we look forward to continuing to be of service to you. Please let us know how we can help you better over the coming years. 2 Texas Tax Lawyer, February, 2000 THE EDITOR’S MESSAGE With the new millennium here, we’ve changed our name and looks. One thing, however, has not changed: we still need your articles. In connection with our new look, I want to extend a special thank you to Sean Sanderling and Willie Hornberger at Jackson & Walker in Dallas for the new cover design. They both did a great job. Our next edition of the Texas Tax Lawyer will be published in May of 2000. The deadline for submitting articles to me for the May Texas Tax Lawyer is March 16. This March 16 deadline is critical for the May edition to go out timely. Finally, please take a look at the committee roster near the back of this edition. If you have not already done so, we would encourage you to sign-up for a committee and get involved with the Tax Section. Gene Wolf 915-533-4424 (telephone) 915-546-5360 (facsimile) [email protected] (e-mail) CLE CALENDAR • University of Miami School of Law 3rd Annual Institute on Tax Considerations in Mergers & Acquisitions, February 24 & 25, 2000 - Key Biscayne, FL - Sonesta Beach Resort • State Bar of Texas Advanced Estate Planning Strategies Course 2000, April 27-28, 2000 - San Francisco, CA - Renaissance Stanford Court • ABA Section of Taxation 2000 May Meeting, May 11-13, 2000 - Washington, D.C. - Grand Hyatt Hotel • 16th Annual Federal Tax Institute, June 15, 2000 - San Diego, CA - Hyatt Hill Country Resort Texas Tax Lawyer, February, 2000 3 PROPERTY TAX LAW DEVELOPMENTS By: John Brusniak, Jr.1 UNITED STATES DISTRICT COURT inability to pay. It further ruled that it could consider these circumstances in their totality in making a determination, F.D.I.C./R.T.C. IS RESPONSIBLE FOR TAXES AND and that the failure of the taxpayer to completely qualify INTEREST WHICH ACCRUE ON PROPERTY under either alternative provision would not cause a dis- WHILE IT IS IN THEIR POSSESSION; THEY ARE missal of the suit. NOT RESPONSIBLE FOR PENALTIES; TRANS- FEREE FROM F.D.I.C/R.T.C.. IS NOT RESPONSI- PROPERTY TAX SUITS BY TAXPAYERS ARE BLE FOR TAXES, INTEREST OR PENALTIES DUR- DEFENSIVE IN NATURE; HENCE FOREIGN PART- ING GOVERNMENT’S POSSESSION UNLESS NERSHIPS MAY DEFEND SUITS WITHOUT REGIS- THEY HAVE CONTRACTED OTHERWISE. TERING WITH SECRETARY OF STATE; UNDER PRIOR STATUTE, LESSEE COULD NOT REPRE- Travis County v. Resolution Trust Corp., 61 F.Supp.2d SENT PROPERTY WITHOUT FILING FIDUCIARY 581 (W.D. Tex. 1999). FORM; JURISDICTIONAL DEFECT IN FIRST YEAR OF LAWSUIT DOES NOT NEGATE SECOND YEAR Taxing units sued in federal court the Resolution Trust IN CONTROVERSY; UNDERGROUND STORAGE Corporation (“RTC’), the Federal Deposit Insurance Corpo- CAVERNS ARE NOT IMPROVEMENTS AND MAY ration (“FDIC”) and the party who acquired certain proper- NOT BE ASSESSED SEPARATELY FROM LAND. ties from these governmental entities for tax delinquencies which arose during and after the government’s ownership of Harris County Appraisal District v. Coastal Liquids the properties. The RTC/FDIC had acquired these proper- Transportation, L.P., No. 01-98-00017-CV (Tex.App.– ties as a receiver for a failed bank. The court ruled that the Houston [1st Dist.] September 30, 1999, no. pet. h.) (to RTC/FDIC was responsible for the base tax which accrued be published). during its ownership under FIRREA and that it was also responsible for the interest on those taxes as a matter of Taxpayer/lessee filed suit against appraisal district policy. It ruled however that the government was not claiming multiple assessment of land and underground stor- responsible for any penalties due on those taxes due to its age caverns. Appraisal district sought to have suit dismissed refusal to waive its sovereign immunity. It further ruled that on the grounds that the taxpayer was a foreign limited part- the transferee from the government was not responsible for nership and had not registered with the Secretary of State’s any of these costs unless it had specifically contracted with office. Suits by unregistered foreign partnerships are barred; the RTC/FDIC to pay them. It ruled that the dispute pertain- however, foreign limited partnerships are allowed to defend ing to taxes, penalties and interest which arose after the against any actions, suits or proceedings brought against transfer should be adjudicated in state court. them. The court ruled that property tax appeal suits, which may be filed by taxpayers as plaintiffs, are in fact defensive TEXAS COURTS OF APPEALS in nature since the action is in fact a defense of a an assess- ment made by the chief appraiser; and hence, an unregis- TAXPAYER WHO CONTACTED TAX OFFICE tered foreign corporation is not barred from filing such a suit. PRIOR TO DELINQUENCY DATE INFORMING THE Lessees, however, who had not filed fiduciary forms with the TAX OFFICE OF TAXPAYER’S INABILITY TO appraisal district (prior to the effective date of the statutory TIMELY PAY ITS TAXES AND WHO ENTERED amendment authorizing lessees to file property tax protests INTO PAYMENT AGREEMENT AFTER DELIN- and suits) did not have standing to act as the agent of the QUENCY DATE, AND KEPT AGREEMENT, WAS owner, nor

Load more

  32

Copy Link