New York City's implementation of the new surcharge on luxury secondary homes violates state law and creates confusion for those who don’t owe the tax, three city residents allege in their suit. Read more: https://taxnotes.co/45YKThy

California’s billionaire wealth tax measure could generate up to $100 billion in revenue if approved, but it’s hard to gauge whether it would drive billionaires out of the state, according to a progressive think tank. Read more: https://taxnotes.co/4wno2qS

Texas Gov. Greg Abbott (R) has directed state regulators to audit proposed data center projects that seek to connect to the state’s electric grid, including identifying tax incentives or other public financial assistance they may be receiving. Read more: https://taxnotes.co/4bzsHhV

The latest set of tariffs imposed by the Trump administration aren’t lawful and are increasing administrative costs for states, according to a new lawsuit filed by Oregon and 24 other states. Read more: https://taxnotes.co/3RTFqoV

Rep. Suhas Subramanyam, D-Va., is asking the IRS to remove administrative hurdles for married couples filing jointly that can lead to processing delays or lost tax payments. Read more: https://taxnotes.co/4ga9gie

Inventory tax accounting rules and economic performance recognition timing principles will help businesses affected by the recent contaminated lettuce recalls recover their related costs, according to tax professionals who spoke with Tax Notes. Read more: https://taxnotes.co/4w88qrd

The future is unclear for a House-passed, bipartisan bill that would expand a tax deduction to early childhood educators, because the Senate is swapping it out for sanctions legislation championed by Lindsey Graham, the late Republican senator. Read more: https://taxnotes.co/4g2YFpl

The injunction halting the sharing of taxpayer information with U.S. Immigration and Customs Enforcement should remain to stop further harm from happening, including wrongful arrests and deportations, a group of organizations argued in federal court. Read more: https://taxnotes.co/4bLX0C4

President Trump and Republican lawmakers have floated several tax proposals over the past year, but time is winding down to pass legislation ahead of the midterm elections. Read more: https://taxnotes.co/4gE9sHq

A new IRS legal memo concluding that a limited partner’s conditional deficit restoration obligation isn’t a payment obligation for purposes of the partnership debt allocation rules raises more questions than it answers. Read more: https://taxnotes.co/3T2XIo2

A federal judge ruled that President Trump’s $10 billion lawsuit against the IRS was never truly adversarial, finding that the president controlled both parties and sanctioning his personal attorneys for pursuing the suit in bad faith. Read more: https://taxnotes.co/44pbzHM

Tax professionals are cautioning that if the IRS eventually loses its appeal in the case of Kwong, it will have to process the mountain of pandemic-era refund claims, creating a long timeline for payouts. Read more: https://taxnotes.co/4vw1WlA

A U.S. court has invalided the global intangible low-taxed income regs, which limit deductions related to disqualified basis, because Treasury lacked authority to promulgate the rule in light of the Supreme Court overturning Chevron deference. Read more: https://taxnotes.co/4f0Xsgt

As Trump accounts near their July 4 launch, the American Institute of CPAs urged taxpayers to do their research to avoid unexpected tax liabilities. Read more: https://taxnotes.co/4aUI2Jy

Several bills aimed at improving IRS service, strengthening taxpayer protections, and creating more transparency for tax-exempt hospitals were advanced to the full House for consideration. Read more: https://taxnotes.co/4eVNMns

A taxpayer claiming that her reliance on TurboTax is to blame for her failure to report almost $300,000 in foreign gifts lacks a colorable reasonable cause defense, the government told a federal court. Read more: https://taxnotes.co/4v2TPgc

The OECD’s updated global minimum tax impact assessment indicates that although the so-called side-by-side package mostly safeguards pillar 2’s goal of curbing profit shifting, tax revenue estimates have decreased, an OECD tax official said. Read more: https://taxnotes.co/4vEmDNa

The IRS performed “better than expected in most respects” during this year’s filing season despite navigating scores of code changes made by last year’s tax bill, according to National Taxpayer Advocate Erin Collins. Read more: https://taxnotes.co/43Rv63l

The effect of the European Commission's tax simplification omnibus on member state budgets is negligible compared to the €8 billion it will save companies, EU Tax Commissioner Wopke Hoesktra said in an exclusive interview. Read more: https://taxnotes.co/4uRNGmI

🚨 LAST CALL: The deadline to enter the 2026 Tax Notes Student Writing Competition is June 30. Every year we recognize superior student writing on unsettled questions in tax law or policy. Learn more: taxnotes.com/students

The U.S. government would get a 50 percent equity stake in the country’s largest artificial intelligence companies under a tax proposed by Senate Finance Committee member Bernie Sanders, I-Vt. Read more: https://taxnotes.co/4uVp7Wj

In his latest perspective piece, tax historian @joethorndike.bsky.social examines Colonial tax law through the lens of critical tax theory and discusses Anthony Infanti's book, "The Human Toll: Taxation and Slavery in Colonial America." Read more: https://taxnotes.co/4ej7rik

Meta is seeking to block a $16 billion tax liability tied to a 2010 cost-sharing arrangement, arguing that the IRS is attempting to relitigate valuation issues the court already resolved in the case of Facebook I. Read more: https://taxnotes.co/4uF8WfH

The National Treasury Employees Union sued the IRS in district court, alleging that a directive ordering the removal of union materials from agency workplaces violates the First Amendment. Read more: https://taxnotes.co/4xwVbSI

The plaintiffs in a federal lawsuit challenging the Trump administration’s $1.8 billion “Anti-Weaponization” Fund told a district court that the government’s words alone aren’t enough to revoke the fund. Read more: https://taxnotes.co/43QilWR

Canadian and U.S. tax authorities have reached a consensus aimed at preventing double taxation of prize money and participant compensation at the upcoming FIFA World Cup, according to the IRS. Read more: https://taxnotes.co/4e3G4bW

The end of the IRS’s collective bargaining agreement is fostering job insecurity and rigorous schedules for some employees, according to union leaders. Read more: https://taxnotes.co/3QuRb4y

The IRS announced it will combine the Return Preparer Office (RPO) and the Office of Professional Responsibility into one unit, solidifying a planned reorganization that has drawn some skepticism from tax professionals. Read more: https://taxnotes.co/3RXx3sj

Thirteen IRS positions have been grouped into a new personnel category created by President Trump that makes it easier to fire individuals in those roles. Read more: https://taxnotes.co/3PWclsc

Plaintiffs suing to block President Trump’s $1.8 billion “Anti-Weaponization” Fund said the administration’s reported decision to drop it falls far short of resolving their legal challenges. Read more: https://taxnotes.co/4uNUfI5