The Legal Intelligencer published an article by Senior Tax Associate Vijay Ramamurthy and Tax Director Michael Ostafy, about a Pennsylvania Commonwealth Court ruling that may lead to substantial tax refunds for corporations.
The Legal Intelligencer
By Vijay Ramamurthy, Senior Tax Associate, Tax & Business Services & Michael Ostafy, Director, Tax & Business Services
GM argued that the appropriate remedy is to sever the flat dollar cap, which would put them in the same position as other taxpayers whose income did not exceed $2 million. Pennsylvania argued that the General Assembly never intended an unlimited NLC deduction, and that the primary legislative intent is to protect the commonwealth’s fiscal health; which would be threatened by having to refund taxes for all taxpayers who were previously subject to the cap.