Author Archives: Kathleen Cornett

Kathleen Cornett
Kathleen Cornett is an associate on the Alston & Bird State & Local Tax Team. She focuses her practice on federal, state, and local tax controversy matters, as well as unclaimed property issues.  Read More →

New York Assembly Introduces a Bill on the Escheat of Virtual Currency

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New York Assembly Bill 8314, introduced on June 13, 2019, would provide for the escheat of virtual currency. The bill, which also directs the comptroller to create regulations establishing when electronic communication qualifies as “written contact” from an owner, defines “virtual currency” as “any type of digital unit that is used for  a  medium of exchange or a form of digitally stored value.” The definition is meant to be broadly construed and includes decentralized currencies and those with a central depository or administrator. However, the bill excludes online gaming currencies, [...]Read more

Colorado’s New Revised Uniform Unclaimed Property Act Should Prompt Holder Action

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Our Unclaimed Property Team examines the potential adverse impacts on holders as Colorado joins the list of states updating their unclaimed property laws by adopting a version of RUUPA that repeals its existing $25 reporting deduction but preserves the state’s existing treatment of gift cards. Impacted holders should consider redomestication Will the state apply the repeal retroactively and attempt to claw back deducted funds? Gift cards and gift certificates – maintaining the status quo Read the fill advisory here. [...]Read more

Delaware’s Escheats Law Is Back in Court

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Our Unclaimed Property Group examines the latest challenge to Delaware’s Escheats Law, regulations, and audit practices. Lawsuit in response to state subpoena of holder’s records Substantive challenge to audit practices even after recent Escheats Law amendments Comparison to Plains All American Pipeline and Temple-Inland Read the full advisory here. [...]Read more

Controlling Interest Transfer Taxes (Part Two)

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Some states impose a controlling interest transfer tax (CITT) in a simple, straightforward manner, but, as a whole, most states’ CITT statutes suffer from ambiguous terms, complicated calculations, and a lack of guidance. Even the states with seriously solid music scenes. In their second article for the Journal of Multistate Taxation and Incentives reviewing states’ CITT statutes (you can find the first one here), Clark Calhoun and Kathleen Cornett discuss the remaining nine states (including the District of Columbia) that tax the transfer of a controlling interest in an entity that owns real [...]Read more

Georgia Proposes Response to Federal Tax Reform

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Almost two months since the President signed the Tax Cuts and Jobs Act (TCJA) into law, state legislators across the country are still evaluating the federal tax law’s effects on state revenues and whether to amend state law in response. Introduced on February 12, Georgia’s Internal Revenue Code conformity bill for the 2018 tax year, HB 918, is one example of how states may respond to federal tax reform. HB 918 conforms to many of the provisions in the TCJA, including the $10,000 state and local tax deduction limitation and the treatment of net operating losses. Like at the federal level, [...]Read more

Third Circuit Continues the Marathon Battle Over Delaware’s Escheat Law

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Delaware’s unclaimed property law continues to face challenges in federal court. Our Unclaimed Property Group runs through the latest twist in the ongoing Marathon v. Cook saga at the Third Circuit. Federal common law rule Ripeness of the challenge A dim view of Delaware’s aggressive audits Read the full advisory here. [...]Read more

Unclaimed Property ADVISORY: Delaware Reworks Its Recent Unclaimed Property Overhaul Legislation

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Delaware revised its unclaimed property overhaul legislation, and the Secretary of State issued its final VDA estimation regulations. Our Unclaimed Property Team explains what happened and what’s happening next. Five-month extension for Department of Finance’s regulations Holder-friendly updates to SB 13 New Department of State VDA estimation regulations Read the advisory here. [...]Read more

State & Local Tax ADVISORY: Georgia Legislation Roundup 2017: General Assembly Fails to Pass Economic Nexus Bill

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Which tax bills survived sine die? Our State & Local Tax Group reviews the three major tax bills of the 2017 Georgia General Assembly.
• HB 329 – the omnibus bill
• HB 225 – the rideshare bill
• HB 283 – the IRC conformity bill

Read the full advisory by clicking here.