TAG Tax


Author: Jeffrey Davine

The IRS has in a recent news release (IR-2019-23) reiterated its warning that individuals who owe federal taxes may not be able to renew their passport or obtain a new passport.

As we recently reported, taxpayers who have a “seriously delinquent tax debt” may be prevented from obtaining a new passport or renewing a current passport. This means that, if someone owes taxes to the federal government, he or she might be unable to travel outside of the U.S.

In 2015, Congress passed a law known as the Fixing America’s Surface Transportation Act (“FAST”). FAST added Section 7345 to the Internal Revenue Code. This provision authorizes the IRS to disclose tax information to the State Department with respect to taxpayers who owe the IRS more than $50,000. This figure is adjusted annually for inflation, and is $52,000 for 2019. After receiving this information, the State Department may revoke, deny, or place limitations on, the delinquent taxpayer’s passport.

Read more: DON’T LET THE IRS YANK YOUR PASSPORT


Multinational enterprises (“MNEs”) with premises or operations in Uruguay must submit to the Tax Office a Country-by-Country report (“the CbC report”) along the OECD guidelines. Such report must contain detailed information on the branches and other MNE related entities around the world. Due date is 31 March 2019.

Read more: Country-by-Country Report in Uruguay: Its Implementation Will Begin Soon


This Legal Update marks Part Three, and our final installment of the three-part series, Navigating the Post-Wayfair world. In Part One, we discussed how states have responded to the Supreme Court's landmark sales and use tax decision, South Dakota v. Wayfair, Inc. In Part Two, we illustrated how Wisconsin has responded to the Court's decision. In Part Three, we offer practical advice for businesses navigating the post-Wayfair world.

Read more: Navigating the Post-Wayfair World Part Three: Practical Advice & Tangible Next Steps


This Legal Update is Part Two in our three-part series: Navigating the Post-Wayfair World, a series geared toward helping businesses navigate the changing sales and use tax landscape. In Part One, we discussed how states have responded to the Supreme Court's landmark tax decision, South Dakota v. Wayfair, Inc. We emphasized that states have not followed a uniform approach in implementing economic nexus rules, and highlighted key variations across state lines. Here, we take a closer look at Wisconsin's response to the Wayfair decision.

Read more: Navigating the Post-Wayfair World Part Two: A Closer Look at Wisconsin's Economic Nexus Law


It has been six months since the United States Supreme Court issued its landmark decision in South Dakota v. Wayfair, Inc. We wrote about the Supreme Court’s decision here. As predicted, the Court’s decision has fundamentally changed the sales and use tax landscape. Since June 2018, over 30 states have enacted legislation or issued interpretive guidance adopting new economic nexus laws in light of the Court’s decision. This rapid development has been complicated by a lack of uniformity across state lines; leaving businesses to grapple with a patchwork of new standards and thresholds.

Read more: Navigating the Post-Wayfair World Part One: States Respond to the Supreme Court's Wayfair Decision