The Future of Interstate Commerce Taxation: The United States Supreme Court and the Wynne Case
November 10, 2014 - By: SC&H Group
SC&H Group’s State & Local Tax practice provides relevant, timely information and case coverage to keep you information about current news and events impacting the state and local tax landscape – and ultimately, your tax obligations. In a recent article, SC&H Group’s Karen Syrylo discusses the closely-watched “Maryland Comptroller of the Treasury v. Wynne” case – the outcome of this case will have important results not only for Maryland taxpayers, but perhaps also for individuals across the nation who conduct interstate business.
On November 12th, the U.S. Supreme Court will hear oral argument in the closely-watched case of Maryland Comptroller of the Treasury v. Wynne. The Court’s decision in this case could potentially have a significant impact on multistate income taxation of individuals, including flow-through business entity owners, and perhaps even C-corporations. The issue involves whether the residence state can tax 100% of the taxpayer’s income, even interstate commerce income that is also taxed by the source state. SC&H Group’s Karen Syrylo initiated the Constitutional argument when Mr. Wynne’s appeal of his Maryland tax assessment was in the Maryland Tax Court.
In a recent article, Karen summarizes the arguments that have been made on both sides of the controversy, and traces the history of the dispute through the Maryland courts. This article also discusses the estimated fiscal impact to the state and the legislature’s reaction to the refund claims filed by taxpayers in light of the Maryland Court of Appeals’ holding in favor of Mr. Wynne. Finally, Karen comments on possible effects and remaining unanswered questions depending on how the Supreme Court rules.
To read the full article, click here.
How could the Supreme Court’s ruling possibly impact your tax liability? To discuss this article, case, or any multistate tax topic in further detail, please contact Karen Syrylo. SC&H Group will continue to keep you updated on the future of interstate commerce taxation based on this case – stay tuned!