State and Local Tax (SALT) attorney Bruce Ely was quoted in Bloomberg BNA on a draft of model legislation that could serve as the starting point for uniform state statutes that would address the new federal partnership audit regime.
Ely said the draft legislation proposes a “two-part model act,” addressing both state conformity with the new federal partnership audit regime and reporting of federal audit adjustments for all entities (RAR statute).
“I think we all agree that what we want here is state-to-state uniformity, and secondly is substantial federal-to-state conformity,” said Ely, who co-chairs a task force of the American Bar
Association tax section's State and Local Tax Committee that has collaborated on the draft model statute. He said there are some areas where pure federal conformity might not be in the best interest of states and taxpayers.
“I do believe this is something that is needed by all the states,” Ely added, noting that no state RAR statutes are alike. “Every state is going to have to amend their statutes regardless.”
The complete article, “Parties Unveil Model State Statute for Partnership Audit Law,” appeared in Bloomberg BNA on June 9, 2017. (login required)