Tax Law Commons^™

A New Framework For Taxing Cryptocurrencies, Reuven S. Avi-Yonah, Mohanad Salaimi

Articles

This article describes a proposal to tax cryptocurrencies based on their unique features.It argues that while various ways of earning or receiving crypto tokens (for example, mining in proof-of-work (PoW) protocols like bitcoin and staking in proof-of-stake (PoS) protocols like ether) generate taxable income, the tax results should take into account positive and negative externalities. It also claims that because of its volatility, crypto should not be taxed until tokens are exchanged for real-world items like fiat currency or goods and services. Finally, this article argues that when crypto tokens are exchanged for fiat currencies or goods and services, they …

State Crypto Regulation: Competing Priorities Shaping Different Outcomes, John T. Bender

Seattle Journal of Technology, Environmental, & Innovation Law

“Cryptomania” is approaching fever pitch. Public officials, practitioners, and investors alike are becoming convinced that what began as a thought experiment has given rise to a full-fledged movement that is here to stay. This movement could potentially transform the modern financial system as we know it.

Today, crypto assets and related platforms are increasingly being adopted to store, secure, and transmit massive amounts of monetary value worldwide. Enforcement agencies like the Securities and Exchange Commission and the Commodity Futures and Trading Commission have ventured into the fray by employing existing legal regimes to regulate in this new frontier. At the …

Tax Harmony: The Promise And Pitfalls Of The Global Minimum Tax, Reuven S. Avi-Yonah, Young Ran (Christine) Kim

Law & Economics Working Papers

The rise of globalization has become a double-edged sword for countries seeking to implement a beneficial tax policy. On one hand, there are increased opportunities for attracting foreign capital and the benefits that increased jobs and tax revenue brings to a society. However, there is also much more tax competition among countries to attract foreign capital and investment. As tax competition has grown, effective corporate tax rates have continued to be cut, creating a “race-to-the-bottom” issue.

In 2021, 137 countries forming the OECD/G20 Inclusive Framework on BEPS passed a major milestone in reforming international tax by successfully introducing the framework …

International Tax, Javier Canosa, Aseem Chawla, Pamela A. Fuller, Chandni Javeri, Priyanka Mongia, Jorge Lopez, Marco Ottenwälder, Jan Neugebauer, Eugenio Romita, Guillermo Villaseñor

The Year in Review

No abstract provided.

Cross-Border Real Estate, Timur Bondaryev, Olga Ivanova, Felipe Isa Castillo, Avikshit Moral, Apurva Kanvinde

The Year in Review

No abstract provided.

New Developments In Us Treaty Overrides, Reuven S. Avi-Yonah

Law & Economics Working Papers

This note discusses the reservations added in the Senate Committee on Foreign Relations to the US-Chile tax treaty and their implications for the treaty override debate.

What Is Insurance? An Analysis Of The Tax Deductibility Of Captive Insurance Premiums, John D. Patten

Honors Capstones

What is insurance for the purposes of a tax deduction? The Internal Revenue Code does not define insurance. Without this definition, taxpayers using alternative insurance products to manage their risks must look to case law to determine whether their arrangements count as tax deductible insurance or non-deductible self-insurance. This paper dives into the four prongs of insurance: insurance risk, risk shifting, risk distributing, and commonly accepted notions of insurance. This paper looks to cases that have dealt with the deduction of captive insurance premiums to provide better insight into the practical application of this test. After discussing the evolution of …

The Strange And Curious Tax Treatment Of Investment Expenses, Jay A. Soled, Mallory A. Morris

Villanova Law Review (1956 - )

No abstract provided.

A Geographically Targeted Approach For A Preceptor Tax Incentive Using Primary Care Health Professional Shortage Areas (Hpsas), Julia Mattingly, Sarah Belcher, Samuel C. Kessler

Commonwealth Policy Papers

Years before the COVID-19 pandemic brought on a health care shortage in Kentucky, its rural areas were already struggling to obtain and attract primary care medical practitioners. Even though the number of medical school graduates in the U.S. has steadily increased throughout the years, there is a general disinterest in rural or small-town practice, and legislators throughout the country have pondered ways to address this issue plaguing communities. Versions of Preceptor Tax Incentive legislation in Kentucky have been proposed in the General Assembly to address care shortages in the state, however, all have been unsuccessful at truly targeting rural areas …

New Assets, (Largely) Same Old Rules: The Taxation Of Digital Tokens, Vincent Ooi

Research Collection Yong Pung How School Of Law

In this blog post, I highlight the fact that across jurisdictions, tax provisions specifically drafted to address the taxation of digital tokens are still quite rare, meaning that existing orthodox tax rules will have to be applied. However, care must be taken when applying tax provisions and one must be aware of the limits of "reasoning by analogy".Some tax provisions make reference to specific assets or asset classes and it cannot be assumed that digital tokens which look very similar to these assets will inevitably fall under those provisions. For example, no matter how much a digital payment token looks …

A Memorial And Remonstrance Against Taxation Of Churches, Reece Barker

BYU Law Review

No abstract provided.

The Inequity Of Informal Guidance, Joshua D. Blank, Leigh Osofsky

Vanderbilt Law Review

The coexistence of formal and informal law is a hallmark feature of the U.S. tax system. Congress and the Treasury enact formal law, such as statutes and regulations, while the Internal Revenue Service offers the public informal explanations and summaries, such as taxpayer publications, website frequently asked questions, virtual assistants, and other types of taxpayer guidance. Throughout the COVID-19 pandemic, the IRS increased its use of informal law to help taxpayers understand complex emergency relief rules implemented through the tax system.

In contrast to many other legal scholars who have examined important administrative law issues regarding informal tax guidance, in …

Utilizing Tax Incentives To Increase Gender Parity On Corporate Boards, Mary E. Tursi

University of Richmond Law Review

Women are drastically underrepresented in positions of power and prominence in the United States. As of 2021, women hold only thirty percent of board seats on the S&P 500. The number is much smaller for private corporations. One study found that in 2020, women occupied only eleven percent of board seats for private corporations. Given these statistics, it is unsurprising that a 2021
study predicts that corporate boards will not reach gender parity until 2032.

This underrepresentation matters for several reasons. First, the lack of gender equity on corporate boards is blatantly sexist. This disparity should matter for anyone who …

Policy Solutions To Maximize The Economic Potential Of The Casino Industry Clusters In Tunica County, Mississippi, John Furla

Honors Theses

Tunica County has come a long way over the past 30 years. From being named “America’s Ethiopia” in 1989 to leading the state in many aspects of economic development today, Tunica County has completely transformed their economy all on the back of the casino industry. Grounded in agglomeration theory, this research serves to confirm the quantitative data that claim that the casino clusters in Tunica County serve as the central driver of economic development for the area through the process of spillover. Through six qualitative interviews with officials from Tunica County government and economic development agencies, the collection of descriptive …

Zambia Revenue Authority V Matalloy Company Limited Scz/08/016/2020, Mwaba Mulenga Chileya

SAIPAR Case Review

Justice Mumba Malila supplements the jurisprudence on tax law in this judgment that deals with the obligation of a taxpayer in tax cases. The case focused on the responsibility of taxpayers to prove their eligibility for a tax credit from the Zambia Revenue Authority. Briefly, the case also discusses the concept of tax credits, and their use by taxpayers.

Taxing Choices, Tessa R. Davis

Faculty Publications

Tax has a choice problem. At all stages of the making of tax, choice plays a role. Lawmakers consider how tax will impact the range and appeal of choices available to an individual. Scholars critique how tax may drive an individual toward or away from a given choice. Courts craft stories of how an individual had either free or deeply constrained choice, using their perception of the facts to guide their interpretation of tax law. And yet for all the seeming relevance of choice to tax, we have no clear definition of what we mean when we talk about choice …

Making Tax Law Work: Improvisation And Forgotten Taxpayers In Partnership Tax, Andrea Monroe

University of Michigan Journal of Law Reform

There is a growing awareness that federal tax law caters to a small number of wealthy and well-advised taxpayers without regard for the rest of the taxpaying public, and partnership tax is a prime example. This Article explains how complexity and indeterminacy have transformed partnership tax, harming millions of forgotten taxpayers who struggle to comply with their annual filing obligations. A root cause of this phenomenon is the professional culture among elite practitioners, policymakers, and scholars at the heart of the partnership tax system.

The most troublesome provisions of partnership tax are also its most fundamental—namely the allocation rules that …

Fiscal Transformations Due To Ai And Robotization: Where Do Recent Changes In Tax Administrations, Procedures And Legal Systems Lead Us?, Maria Amparo Grau Ruiz

Northwestern Journal of Technology and Intellectual Property

Tax administrations are currently experiencing transformations worldwide. This phenomenon has an impact on traditional tax rules. Increased technological capabilities open the door to review procedural and substantial regulation. The reinforcement of reporting and transparency requirements, and the connectivity between information systems in the public and private sector, will probably have a decisive influence on the evolution of tax law. Chatbots capture relevant data about the legal persons subject to different types of tax obligations. This information may be used to prepare more detailed administrative guidance, or even design future normative reforms. To efficiently protect justice and the rule of law …

Questions The Irs Will Not Answer, Emily L. Cauble

Indiana Law Journal

When a taxpayer plans to undertake a transaction and its tax consequences are unclear, the taxpayer can request a letter ruling from the IRS. The IRS issues numerous letter rulings each year. In 2020, for instance, the IRS issued 777 letter rulings. The IRS refrains from issuing letter rulings on certain topics. At the beginning of each year, the IRS publishes an updated list of the topics on which it will not rule. Many of the topics on which it will not rule arise in areas of tax law governed by standards where the tax outcome depends heavily on each …

Global Partnership Should Be The Way Forward To Combat Money Laundering, Maame Nyakoa Boateng

Dickinson Law Review (2017-Present)

This Comment compares the major anti-money laundering (“AML”) laws in the United States and Iran. This Comment argues that even though the United States is advanced in its compliance approach, without a partnership with countries that are more vulnerable to money laundering attacks, its AML efforts could prove counter-productive because of the inter-connectedness of our world today. Accordingly, this Comment proposes a global partnership between countries with effective AML legislation and countries with less effective AML legislation to combat this complex crime.