Tax News & Views

How does the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) affect net operating losses (NOL) at a state level? When it comes to the five-year NOL carryback provision in the CARES Act, it’s important to understand the differences between, and limitations of, state and federal NOLs. Brian Sullivan, managing director at Deloitte Tax, lays out considerations for NOLs in states where future income is expected, procedures to document and support NOLs, and key differences between conforming at the state level and conforming with the amendments to IRC 163(j) from the CARES Act.

On the indirect tax side, it’s contract personnel opportunities, indirect tax refund reviews, and outsourcing compliance. For property tax, it’s deferred payments, a focus on the current filing and an assessment cycle, and a strategy for future appeals. There are numerous state-level opportunities for businesses looking to save or generate cash in response to COVID-19. On our latest tax podcast, Deloitte Tax leaders Kirsten Gulotta and Dave Hurrell discuss cash generation in the age of COVID-19.

The business impacts of COVID-19 are far reaching and include transfer pricing considerations for multinational companies that should be actively managed and monitored. Companies and their transfer pricing specialists are dealing with a complex landscape that includes the potential effects of the pandemic on business strategies and resulting transfer pricing implications, changing market behaviors and the impacts on intercompany contracts and arrangements, adopting a different transfer pricing policy than what is contained in current agreements, and much more.

Are you prepared for an employment tax audit? In this latest episode, Deloitte managing director and compensation tax specialist Jason Russell walks through some of the latest trends in this space and highlights what companies need to look out for as the IRS starts to conduct more employment tax audits as a result of the pandemic.

Pillar Two represents a significant shift in global tax reform, but how will it affect US-based multinational companies? Tax News & Views presents the Pillar Two spotlight series, where Deloitte Tax leaders and subject-matter specialists will explore the transition and compliance with Pillar Two and discuss how US multinationals should rethink their tax approach ahead of 2024 when the new rules go into effect.