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Losantiville Country Club hosted unprofitable nonmember events for many years, consistently using those losses to avoid paying tax on its investment income. Because the Internal Revenue Service determined that Losantiville did not hold nonmember events for the primary purpose of making a profit, the club could not offset its income from investments with losses from those nonmember activities. Invalidating those deductions resulted in Losantiville having underpaid tax on its unrelated business income between 2010 and 2012. Plus, the IRS imposed accuracy-related penalties. On appeal, the Tax Court upheld this determination, reasoning that Losantiville did not intend to profit from its nonmember events. Finding no reversible error in that decision, the Sixth Circuit affirmed. View "Losantiville Country Club v. Comm'r of Internal Revenue" on Justia Law

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In August 2016, the Commissioner of the Minnesota Department of Revenue issued an order assessing personal liability against David Knapp, a North Dakota resident, for $65,843.80 in unpaid Minnesota sales and use taxes relating to his interest in a business in Bemidji, Minnesota. In December 2016, the Commissioner issued a third-party levy on securities held by broker Edward Jones for Knapp by sending a notice to Edward Jones at its Missouri office. The third-party levy said Edward Jones had to sell Knapp's securities under Minn. Stat. Ann. 270C.7101(7) and send the Minnesota Department of Revenue payment up to the amount due. The levy instructed Edward Jones not to send money that was exempt or protected from the levy and cautioned that state law allowed the Commissioner to assess debt to businesses, officers, or other individuals responsible for honoring the levy, including assessing the total amount due plus a twenty-five percent penalty. Knapp petitioned the district court to dissolve the levy and for a writ of prohibition against the Commissioner and Edward Jones to prohibit them from taking any further action to levy on his account. Knapp alleged that the Commissioner had no jurisdiction in North Dakota to levy on his North Dakota property and that his property was exempt from the levy. The district court issued a preliminary writ of prohibition to stay the levy pending the filing of an answer showing cause under N.D.C.C. 32-34-05, but later concluded Knapp failed to establish he was entitled to relief. The North Dakota Supreme Court concluded the district court did not abuse its discretion in denying Knapp's petition for a writ of prohibition, and affirmed the judgment and the order. View "Knapp v. Commissioner of Minnesota Department of Revenue" on Justia Law

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Applicant LK Holdings, LLC appealed the Public Utility Commission’s dismissal of its application for a certificate of public good for a proposed group net-metered photovoltaic electric power system. The Commission dismissed the petition as incomplete because applicant failed to provide notice to adjoining landowners that its application had been filed. Finding no reversible error, the Vermont Supreme Court affirmed. View "In re Petition of LK Holdings, LLC" on Justia Law

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Petitioners-appellants John Machacek, Jr. and Marianne Machacek were the sole shareholders of John J. Machacek, Jr., Inc. (Machacek, Inc.), a corporation organized under Subchapter S of the Internal Revenue Code. John was also an employee of Machacek, Inc. The Machaceks appealed the Tax Court’s ruling requiring them to treat as income the economic benefits resulting from Machacek, Inc.’s payment of a premium on John's life insurance policy under a compensatory split-dollar arrangement. Relying on the compensatory nature of the arrangement, the Tax Court rejected the Machaceks’ argument that the economic benefits should be treated as a shareholder distribution. The Sixth Circuit reversed, finding that the Tax Court did not consider the impact of a provision of the tax regulations specifically requiring that such economic benefits be treated as shareholder distributions. View "Machacek v. Comm'r of Internal Revenue" on Justia Law

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The Supreme Court affirmed the award of the Nebraska Workers’ Compensation Court, holding that none of Employee’s contentions on appeal warranted modification of the award. In his petition, Employee sought temporary total disability benefits, vocational rehabilitation, payment of past and future medical bills, and waiting-time penalties and attorney fees. The Supreme Court affirmed, holding that the Workers’ Compensation Court did not err by failing to (1) award permanent disability based on a loss of earning capacity rather than a member impairment rating; (2) award permanent disability based on a twelve-percent member impairment rating rather than a fifteen-percent member impairment rating; (3) award a waiting-time penalty from the date of the injury rather than the date of payment of benefits in August 2016; (4) award Employee out-of-pocket medical expenses; and (5) award reimbursement of vacation time and short-term disability. View "Bower v. Eaton Corp." on Justia Law

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The Supreme Court affirmed the judgment of the district court affirming the decision of the Iowa Department of Inspections and Appeals denying the petition filed by a manufacturer and seller of electronic game devices (Petitioner) seeking a declaration that its games were not subject to the registration provisions contained in Iowa Code 99B.53, holding that the Department’s actions were not unreasonable, arbitrary, capricious, or an abuse of discretion. In denying the petition, the Department concluded that the outcomes of the games were not primarily determined by the skill or knowledge of the operator, and therefore, the games were subject to registration. The district court affirmed. The Supreme Court affirmed, holding that the Department (1) properly interpreted the relevant statutes; (2) did not prejudice the substantial rights of Petitioner based upon an irrational, illogical, or wholly unjustifiable application of law to fact; and (3) did not prejudice the substantial rights of Petitioner unreasonably, arbitrarily, capriciously, or through an abuse of discretion. View "Banilla Games, Inc. v. Iowa Department of Inspections & Appeals" on Justia Law

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Petitioner State Employees’ Association of New Hampshire, Inc., SEIU, Local 1984 (Union), appealed a New Hampshire Public Employee Labor Relations Board (PELRB) order finding respondent State of New Hampshire did not commit an unfair labor practice by prospectively eliminating salary enhancements for newly hired Sununu Youth Services Center (SYSC) employees under the parties’ collective bargaining agreement (CBA). Based on its review of the PELRB record, the New Hampshire Supreme Court concluded that, as a matter of law, the Union’s withdrawal of a proposal during the mediation phase that led to the adoption of the 2015-2017 CBA established that elimination of the salary enhancements was a bargained-for result of the new CBA. View "Appeal of State Employees' Association of New Hampshire, Inc., SEIU, Local 1984" on Justia Law

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Plaintiff Laurie Exby-Stolley sued her former employer, the Board of County Commissioners of Weld County, Colorado (the County), under the Americans with Disabilities Act (ADA). She alleged the County had failed to accommodate her disability, resulting in the loss of her job. The jury returned a verdict for the County. Exby-Stolley appealed, arguing: (1) the district court improperly instructed the jury that she needed to prove she had suffered an adverse employment action; (2) the district court refused to instruct the jury on a claim of constructive discharge or allow her to argue constructive discharge in closing argument; and (3) the district court misallocated the burden of proof in its undue-hardship jury instruction. The Tenth Circuit found no errors and affirmed the district court's judgment. View "Exby-Stolley v. Board of County Commissioners" on Justia Law

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In 2012 and 2013, petitioners submitted permit applications to the San Juan County Department of Community Development. The county code listed 19 items that a party must submit to complete an application, one of which is paying "[t]he applicable fee." Petitioners paid the applicable fees, and the permits were issued. On March 18, 2015, almost three years later, petitioners filed this lawsuit, seeking a partial refund of the fees they now characterized as "illegally excessive" in violation of RCW 82.02.020. They sought certification as a class action lawsuit for everyone who paid San Juan County for consideration of land use and building permits, modifications, or renewals during the preceding three years. Petitioners requested a declaratory judgment, payment to the putative class reaching back three years for any amount found to be an overcharge, and attorney fees. The trial court dismissed the suit, finding the Land Use Petition Act (LUPA) governed, and a failure to file suit within 21 days barred the action. Finding no reversible error, the Washington Supreme Court affirmed dismissal. View "Cmty. Treasures v. San Juan County" on Justia Law

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The Supreme Court affirmed the circuit court’s judgment affirming a hearing examiner’s decision that an exemption from taxation for real property be increased to 100 percent but reversed the award of attorney fees, holding that the circuit court correctly upheld the hearing examiner’s decision but erred in its award of attorney fees. The Pennington County Board of Equalization established an exemption of thirty-two percent for the 2017 tax year for real property owned by American Legion Home Association Post 22. On American Legion’s administrative appeal, the hearing examiner concluded that the real property qualified for a 100 percent exemption under S.D. Codified Laws 10-4-9.2. The Supreme Court held that the circuit court (1) did not err in affirming the hearing examiner’s decision that the property was entitled to a 100 percent exemption under the statute; but (2) awarded attorney fees without sufficient information to determine a reasonable fee. The Court remanded the attorney fee issue. View "American Legion Home Ass’n Post 22 v. Pennington County" on Justia Law