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Thursday, April 30, 2009

Andy Rooney Supports Public Disclosure of Tax Returns

On April 15, I blogged Joe Thorndike's proposal advocating public disclosure of all tax returns.  Andy Rooney came out in favor of the idea on his 60 Minutes segment on CBS:

(Hat Tip: tax.com.)

April 30, 2009 in Celebrity Tax Lore, Tax | Permalink | Comments (2) | TrackBack (0)

2010 U.S. News Employed at Nine Months Rankings (v. Overall Rankings)

U.S. News Continuing my coverage of the Placement Success component of the 2010 U.S. News Law School Rankings, which counts 20% in the U.S. News methodology: the chart below compares the Employed at Nine Months data (14%) with the school's overall ranking:

Employed at

9 Months Rank

Employed at

9 Months Score

 

School

Overall

Rank

1

100.0%

Stanford

3

1

100.0%

Duke

10

1

100.0%

Utah

45

1

100.0%

Kentucky

55

5

99.8%

NYU

5

6

99.7%

UCLA

15

6

99.7%

Washington U.

19

6

99.7%

Boston University

20

6

99.7%

Seattle

77

10

99.6%

Pennsylvania

8

10

99.6%

Northwestern

10

10

99.6%

Georgia State

65

13

99.5%

Yale

1

13

99.5%

Chicago

6

13

99.5%

Michigan

9

13

99.5%

BYU

41

13

99.5%

George Mason

41

13

99.5%

Florida State

52

19

99.3%

Harvard

2

19

99.3%

UC-Berkeley

6

19

99.3%

Texas

15

19

99.3%

Alabama

30

19

99.3%

Wisconsin

35

24

99.2%

Virginia

10

24

99.2%

Iowa

26

24

99.2%

Georgia

35

24

99.2%

Cincinnati

52

24

99.2%

New Mexico

77

29

99.1%

William & Mary

28

30

99.0%

Notre Dame

23

31

98.9%

Cornell

13

31

98.9%

Minnesota

20

31

98.9%

U. Washington

30

34

98.8%

Columbia

4

35

98.7%

Illinois

23

35

98.7%

West Virginia

Tier 3

37

98.6%

South Dakota

Tier 3

38

98.5%

Indiana-Bloomington

23

38

98.5%

Fordham

30

38

98.5%

Ohio State

35

41

98.3%

American

45

42

98.2%

Vanderbilt

17

42

98.2%

USC

18

42

98.2%

Houston

59

42

98.2%

Loyola-LA

71

46

98.1%

Boston College

26

46

98.1%

SMU

49

46

98.1%

Toledo

Tier 3

49

98.0%

North Carolina

30

49

98.0%

Cardozo

49

49

98.0%

San Diego

61

49

98.0%

Arkansas-Little Rock

Tier 3

49

98.0%

Creighton

Tier 3

54

97.9%

Maryland

43

54

97.9%

Missouri-Columbia

65

54

97.9%

UNLV

75

54

97.9%

Louisville

98

58

97.8%

Tennessee

59

58

97.8%

SUNY-Buffalo

85

60

97.7%

Brooklyn

61

61

97.6%

Miami

71

62

97.5%

Albany

Tier 3

63

97.4%

Georgetown

14

63

97.4%

LSU

75

63

97.4%

Seton Hall

77

63

97.4%

Drake

Tier 3

67

97.3%

Idaho

Tier 3

68

97.2%

UC-Hastings

39

68

97.2%

Missouri-KC

Tier 3

70

97.1%

Denver

77

70

97.1%

Maine

100

72

97.0%

Emory

20

72

97.0%

Villanova

61

74

96.9%

Oklahoma

71

74

96.9%

North Dakota

Tier 3

76

96.8%

Case Western

55

76

96.8%

Gonzaga

100

76

96.8%

Hofstra

100

79

96.7%

Marquette

87

79

96.7%

Mississippi College

Tier 4

81

96.6%

Connecticut

52

81

96.6%

Pepperdine

55

81

96.6%

St. Louis

94

84

96.5%

Tulane

45

84

96.5%

Indiana-Indianapolis

87

84

96.5%

William Mitchell

Tier 3

87

96.4%

Penn State

65

87

96.4%

St. Thomas (MN)

Tier 3

87

96.4%

Florida Coastal

Tier 4

90

96.2%

UC-Davis

35

91

96.1%

Franklin Pierce

Tier 3

92

96.0%

Lewis & Clark

61

92

96.0%

St. John's

87

92

96.0%

Mercer

Tier 3

95

95.9%

Florida

51

96

95.8%

Loyola-New Orleans

Tier 3

97

95.7%

Pittsburgh

71

97

95.7%

San Francisco

98

97

95.7%

Whittier

Tier 4

100

95.6%

Santa Clara

85

100

95.6%

Samford

Tier 3

100

95.6%

Southwestern

Tier 3

100

95.6%

Wyoming

Tier 3

104

95.5%

Kansas

65

105

95.3%

Catholic

94

105

95.3%

Cleveland State

Tier 3

107

95.2%

South Carolina

87

107

95.2%

Ohio Northern

Tier 3

109

95.1%

Arizona

43

109

95.1%

Richmond

77

111

94.9%

Oregon

77

112

94.8%

Rutgers-Newark

87

112

94.8%

Baltimore

Tier 4

114

94.7%

Vermont

Tier 3

115

94.6%

Temple

65

115

94.6%

Wayne State

Tier 3

117

94.4%

Michigan State

Tier 3

118

94.3%

Wake Forest

40

118

94.3%

DePaul

87

120

94.2%

Akron

Tier 3

121

94.1%

Montana

Tier 3

121

94.1%

Northern Illinois

Tier 4

123

94.0%

Quinnipiac

Tier 3

123

94.0%

Detroit Mercy

Tier 4

125

93.9%

Colorado

45

125

93.9%

Texas Tech

Tier 3

125

93.9%

Suffolk

Tier 4

128

93.8%

Pacific

Tier 3

129

93.5%

Memphis

Tier 3

130

93.4%

Arkansas-Fayetteville

94

130

93.4%

NY Law School

Tier 3

130

93.4%

Valparaiso

Tier 4

133

93.3%

Washington & Lee

30

133

93.3%

Baylor

65

135

93.2%

Rutgers-Camden

77

135

93.2%

Florida International

Tier 4

135

93.2%

Washburn

Tier 4

138

92.9%

Golden Gate

Tier 4

139

92.8%

George Washington

28

139

92.8%

Stetson

Tier 3

141

92.7%

Loyola-Chicago

87

142

92.6%

Northeastern

94

143

92.4%

Campbell

Tier 4

144

92.3%

Arizona State

55

145

92.1%

Chapman

Tier 3

146

91.8%

Chicago-Kent

77

147

91.7%

Syracuse

Tier 3

147

91.7%

Regent

Tier 4

149

91.6%

Hamline

Tier 4

149

91.6%

St. Mary's

Tier 4

151

91.5%

Dayton

Tier 4

152

91.3%

Howard

Tier 3

153

91.0%

Texas Southern

Tier 4

154

90.9%

John Marshall

Tier 4

154

90.9%

Oklahoma City

Tier 4

156

90.7%

Hawaii

Tier 3

157

90.3%

Willamette

Tier 4

158

90.0%

Northern Kentucky

Tier 4

159

89.9%

CUNY

Tier 4

159

89.9%

Nova

Tier 4

161

89.6%

Tulsa

Tier 4

162

89.0%

Duquesne

Tier 4

163

88.9%

Mississippi

Tier 3

164

88.8%

Pace

Tier 4

165

88.5%

Widener

Tier 4

166

88.1%

Southern Illinois

Tier 4

167

87.5%

W. New England

Tier 4

168

87.2%

Roger Williams

Tier 4

169

86.7%

Thomas Jefferson

Tier 4

170

86.2%

Barry

Tier 4

171

85.9%

Southern

Tier 4

172

85.4%

South Texas

Tier 4

173

85.1%

California Western

Tier 4

174

85.0%

New England

Tier 4

175

83.3%

N. Carolina Central

Tier 4

176

82.3%

Texas Wesleyan

Tier 4

177

81.1%

Nebraska

Tier 3

178

80.8%

Ave Maria

Tier 4

178

80.8%

Capital

Tier 4

180

80.4%

St. Thomas (FL)

Tier 4

181

77.8%

Thomas Cooley

Tier 4

182

77.3%

Touro

Tier 4

183

73.8%

District of Columbia

Tier 4

184

64.8%

Appalachian

Tier 4

Prior 2010 U.S. News Law School Rankings coverage:

April 30, 2009 in Law School Rankings, Legal Education | Permalink | Comments (1) | TrackBack (0)

Law School Book Tour: Broken Trust

Broken Trust Tax Prof Randall W. Roth (University of Hawai‘i) has spent the past three weeks discussing tax and other issues from the Bishop Estate saga in faculty forums and regularly scheduled classes at various law schools, including Boston College, Boston University, Denver, Duke, Harvard, McGeorge, North Carolina, San Diego, Santa Clara, UC-Berkeley, UC-Davis, UC-Hastings, and Wake Forest.  This was Prof. Roth's second such "tour" -- last year, he made presentations at some of these same law schools, as well as Alabama, Baltimore, George Mason, Georgia, Georgia State, Maryland, Michigan State, New England, and NYU. The University of Hawai‘i has supported these efforts with travel grants and a flexible teaching schedule.

Prof. Roth and Samuel P. King published the bestselling book, Broken Trust: Greed, Mismanagement, and Political Manipulation at America’s Largest Charitable Trust (University of Hawai‘i Press, 2006), which was named 2007 Book of the Year by the Hawai‘i Book Publishers Association.  They donate all of their royalties to local charities. Thanks to a special arrangement with the publisher, Prof. Roth is able to give copies of the book to interested professors and students at the schools that he visits.  (Hat Tip: Grayson McCouch.)

April 30, 2009 in Book Club, Colloquia, Tax | Permalink | Comments (0) | TrackBack (0)

Abrams: Exiting a Partnership and Making Gain Disappear

Howard E. Abrams (Emory) has posted Now You See it, Now You Don't: Exiting a Partnership and Making Gain Disappear on SSRN.  Here is the abstract:

In this Article, three methods of exiting are partnership are examined. Each exit strategy offers significant tax advantages to the nonexiting partners. In two of the exit strategies, well-known defects in Subchapter K are exploited, and I conclude that the strategies cannot be attacked successfully by the government using either the detailed rules of Subchapter K or by resort to the partnership anti-abuse rules. However, the third of the exit strategies seeks to exploit language in a treasury regulation in a manner plainly not contemplated by the drafters and which yields a result inconsistent with the structure of subchapter K. I conclude that this exit strategy can be attacked successfully by the government. The two successful strategies show that in many cases the exit of a partner can be used to defer significant amounts of income.

April 30, 2009 in Scholarship, Tax | Permalink | Comments (0) | TrackBack (0)

The Path to Law Teaching at Harvard

Cain: Unmarried Couples and the Mortgage Interest Deduction

Patricia A. Cain (Santa Clara) has posted Unmarried Couples and the Mortgage Interest Deduction, 123 Tax Notes 473 (Apr. 27, 2009), on SSRN.  Here is the abstract:

On March 13, 2009, the IRS released Chief Counsel Advisory 200911007, concluding that unmarried co-owners of a residence were limited to mortgage interest deductions on $1 million of acquisition indebtedness. CCA 200911007 reasons that the $1 million limit should be applied per residence rather than per taxpayer. This article criticizes the IRS position.

Prior TaxProf Blog coverage:

April 30, 2009 in Scholarship, Tax | Permalink | Comments (0) | TrackBack (0)

Government Files Brief in Opposition in G-I Holdings

Continuing my coverage of the taxpayer's attempt to have the district court reconsider its decision in In re G-I Holdings, 369 B.R. 832 (D.N.J. 2007), based on affidavits to be supplied by Senate Finance Committee staffers on the meaning of a tax transition rule:  the Government yesterday filed its Brief in Opposition. Attached to the motion are several remarkable documents, including:

  • A three-page letter from Senate Finance Committee Deputy Counsel Patricia Mack Bryan strongly objecting to the taxpayer's attempt to introduce into evidence the affidavit from the committee staffer.
  • Skadden's $13.4 million attorney fee application.
  • McKee Nelson's $10.7 million attorney fee application. 

Prior TaxProf Blog coverage:

April 30, 2009 in New Cases, Tax | Permalink | Comments (0) | TrackBack (0)

Disbarment Sought for Lawyer Who Altered Law School Grades

Following up on last week's post, Chicago Grad Faces 3-Year Suspension For Altering Grades on Law School Transcript:  the Chief Counsel of the Illinois Attorney Registration and Disciplinary Commission has called for Mr. Friedman's permanent disbarment.

April 30, 2009 in Legal Education | Permalink | Comments (1) | TrackBack (0)

Borden: Residual-Risk Model for Classifying Business Arrangements

Bradley T. Borden (Washburn) has posted Residual-Risk Model for Classifying Business Arrangements, 37 Fla. St. U. L. Rev. ___ (2010), on SSRN.  Here is the abstract:

Tax law classifies business arrangements as one of three general structures: (1) disregarded arrangements, (2) tax partnerships, or (3) tax corporations. Since the enactment of the income tax in 1913, tax law has struggled unsuccessfully to develop a good model for classifying business arrangements. The current model's sole virtue is its simplicity, derived from formalistic, elective attributes. Its greatest shortcoming may be that it disregards the reasons parties form business arrangements and their use of economic items to reduce rent-seeking behavior and agency costs. That disregard often allows business participants to choose their tax classification and minimize their taxes, which erodes the tax base and shifts tax burdens to others but does not alter the parties' economic relationships. This Article rejects the current model and presents a classification model based on the economic theory of the firm. Economic theory aids classification in three respects. First, it helps explain why parties form business arrangements. Second, it views business arrangements as nexuses of contracts composed of various parties. That view helps identify the economic aspects of business arrangements and the economic rights of business participants, irrespective of legal form. Third, it demonstrates that residual risk (the right to the residual assets of a business) measures the economic interests parties have in business arrangements. In particular, residual risk helps distinguish arrangements that can trace income from its source to the owner of the source or from allocations to the beneficiaries of those allocations from those arrangements that cannot. That knowledge clarifies the appropriate tax regime for all arrangements and leads to the residual-risk model for classifying business arrangements.
           

April 30, 2009 in Scholarship, Tax | Permalink | Comments (0) | TrackBack (0)

UNC Hosts Tax Institute Today

North Carolina hosts its annual J. Nelson Young Tax Institute today.

April 30, 2009 in Conferences, Tax | Permalink | Comments (0) | TrackBack (0)

Wednesday, April 29, 2009

Virginia Tax Review Publishes New Issue

The Virginia Tax Review has published Vol. 28, No. 2 (Fall 2008):

April 29, 2009 in Scholarship, Tax | Permalink | Comments (0) | TrackBack (0)

2010 U.S. News Employed at Graduation Rankings (v. Overall Rankings)

U.S. News Continuing my coverage of the 2010 U.S. News Law School Rankings:  I turn next to the Placement Success component, which counts 20% in the U.S. News methodology.  The chart below compares the Employed at Graduation data (4%) with the school's overall ranking.  64 law schools did not supply U.S. News with this data.

Employed at

Grad. Rank

Employed at

Grad. Score

School

Overall

Rank

1

100.0%

Stanford

3

2

99.6%

NYU

5

3

99.3%

Boston University

20

4

98.8%

Columbia

4

5

97.7%

Duke

10

6

97.6%

Northwestern

10

7

97.5%

UCLA

15

8

97.4%

UC-Berkeley

6

8

97.4%

Michigan

9

10

97.2%

Harvard

2

10

97.2%

Pennsylvania

8

12

97.1%

Emory

20

13

97.0%

Virginia

10

14

96.8%

Cornell

13

14

96.8%

Texas

15

16

96.5%

Chicago

6

16

96.5%

George Mason

41

18

96.4%

Yale

1

19

96.3%

Vanderbilt

17

20

94.7%

Georgetown

14

21

94.1%

Washington U.

19

22

93.3%

USC

18

23

92.7%

U. Washington

30

24

91.8%

Utah

45

25

90.4%

Baltimore

Tier 4

26

90.3%

Alabama

30

27

89.7%

Howard

Tier 3

26

89.6%

Georgia

35

29

88.2%

George Washington

28

29

88.2%

William & Mary

28

31

88.1%

Notre Dame

23

32

87.9%

Fordham

30

33

87.4%

Illinois

23

33

87.4%

Iowa

26

35

87.2%

Indiana-Bloomington

23

36

87.1%

American

45

37

86.8%

Seton Hall

77

38

86.7%

UC-Davis

35

39

86.6%

DePaul

87

40

85.7%

Boston College

26

41

85.5%

Chapman

Tier 3

42

85.4%

Minnesota

20

43

85.2%

Southwestern

Tier 3

44

84.8%

Maryland

43

45

84.3%

Ohio State

35

46

84.1%

Wisconsin

35

47

83.6%

Rutgers-Newark

87

48

83.0%

Toledo

Tier 3

49

82.5%

Tulane

45

50

82.4%

SUNY-Buffalo

85

51

82.3%

Case Western

55

52

81.4%

SMU

49

53

80.4%

BYU

41

53

80.4%

Cardozo

49

55

80.2%

Houston

59

56

79.9%

Florida State

52

57

79.8%

Colorado

45

58

79.7%

Indiana-Indianapolis

87

59

79.4%

Akron

Tier 3

60

78.5%

Wake Forest

40

61

77.3%

Nebraska

Tier 3

62

77.2%

Kentucky

55

62

77.2%

LSU

75

64

76.7%

Miami

71

65

75.8%

Florida

51

66

75.7%

UNLV

75

67

75.5%

Pittsburgh

71

68

75.2%

Washington & Lee

30

68

75.2%

Rutgers-Camden

77

70

75.0%

Arizona

43

71

74.6%

Cincinnati

52

71

74.6%

St. John's

87

73

73.1%

Regent

Tier 4

74

72.1%

Chicago-Kent

77

75

71.5%

Brooklyn

61

76

71.2%

North Carolina

30

77

70.9%

Creighton

Tier 3

78

70.7%

Pepperdine

55

79

70.5%

Cleveland State

Tier 3

80

70.3%

West Virginia

Tier 3

81

70.1%

Catholic

94

82

69.5%

Villanova

61

82

69.5%

Memphis

Tier 3

84

69.2%

Hawaii

Tier 3

85

69.0%

UC-Hastings

39

85

69.0%

Connecticut

52

87

68.9%

Tennessee

59

88

68.6%

Denver

77

89

68.5%

Santa Clara

85

90

67.9%

Seattle

77

91

67.2%

St. Louis

94

92

67.1%

Kansas

65

93

66.7%

Marquette

87

94

66.2%

Franklin Pierce

Tier 3

95

65.9%

Richmond

77

96

65.7%

Vermont

Tier 3

97

63.9%

Oklahoma

71

97

63.9%

South Dakota

Tier 3

99

62.4%

New Mexico

77

100

61.7%

Widener

Tier 4

101

61.2%

Baylor

65

101

61.2%

South Carolina

87

103

60.9%

Temple

65

104

60.5%

Loyola-New Orleans

Tier 3

105

58.0%

Oregon

77

106

57.5%

Mississippi

Tier 3

107

56.7%

Whittier

Tier 4

108

56.3%

Valparaiso

Tier 4

109

56.1%

Mercer

Tier 3

109

56.1%

Samford

Tier 3

111

55.9%

Mississippi College

Tier 4

111

55.9%

Texas Wesleyan

Tier 4

113

54.3%

Louisville

98

114

52.9%

Missouri-Columbia

65

115

50.9%

Tulsa

Tier 4

116

47.2%

Campbell

Tier 4

117

45.4%

William Mitchell

Tier 3

118

45.2%

New England

Tier 4

119

44.2%

Arkansas-Little Rock

Tier 3

120

43.5%

Northern Illinois

Tier 4

N/A

N/A

Arizona State

55

N/A

N/A

Lewis & Clark

61

N/A

N/A

San Diego

61

N/A

N/A

Georgia State

65

N/A

N/A

Penn State

65

N/A

N/A

Loyola-LA

71

N/A

N/A

Loyola-Chicago

87

N/A

N/A

Arkansas-Fayetteville

94

N/A

N/A

Northeastern

94

N/A

N/A

San Francisco

98

N/A

N/A

Gonzaga

100

N/A

N/A

Hofstra

100

N/A

N/A

Maine

100

N/A

N/A

Albany

Tier 3

N/A

N/A

Drake

Tier 3

N/A

N/A

Idaho

Tier 3

N/A

N/A

Michigan State

Tier 3

N/A

N/A

Missouri-KC

Tier 3

N/A

N/A

Montana

Tier 3

N/A

N/A

New York Law

Tier 3

N/A

N/A

North Dakota

Tier 3

N/A

N/A

Ohio Northern

Tier 3

N/A

N/A

Pacific

Tier 3

N/A

N/A

Quinnipiac

Tier 3

N/A

N/A

St. Thomas (MN)

Tier 3

N/A

N/A

Stetson

Tier 3

N/A

N/A

Syracuse

Tier 3

N/A

N/A

Texas Tech

Tier 3

N/A

N/A

Wayne State

Tier 3

N/A

N/A

Wyoming

Tier 3

N/A

N/A

Appalachian

Tier 4

N/A

N/A

Ave Maria

Tier 4

N/A

N/A

Barry

Tier 4

N/A

N/A

California Western

Tier 4

N/A

N/A

Capital

Tier 4

N/A

N/A

CUNY

Tier 4

N/A

N/A

Dayton

Tier 4

N/A

N/A

Detroit Mercy

Tier 4

N/A

N/A

Duquesne

Tier 4

N/A

N/A

Florida Coastal

Tier 4

N/A

N/A

Florida International

Tier 4

N/A

N/A

Golden Gate

Tier 4

N/A

N/A

Hamline

Tier 4

N/A

N/A

John Marshall

Tier 4

N/A

N/A

Northern Kentucky

Tier 4

N/A

N/A

N. Carolina Central

Tier 4

N/A

N/A

Nova

Tier 4

N/A

N/A

Oklahoma City

Tier 4

N/A

N/A

Pace

Tier 4

N/A

N/A

Roger Williams

Tier 4

N/A

N/A

South Texas

Tier 4

N/A

N/A

Southern Illinois

Tier 4

N/A

N/A

Southern

Tier 4

N/A

N/A

St. Mary's

Tier 4

N/A

N/A

St. Thomas (FL)

Tier 4

N/A

N/A