WASHINGTON, DC — Arthur Rosen, a partner in the New York office of McDermott Will & Emery, recently testified before the House Judiciary Committee's Subcommittee on Commercial and Administrative Law as an expert witness during the Subcommittee's hearing on Internet Taxes.
The debate of Internet taxation has turned into an increasingly polarized topic. Recently, a large number of states have been seeking to tax the income of out-of-state corporations doing business with customers within their jurisdictions. Conversely, a large portion of the business community wants Congress to define when state and local governments should be prohibited from requiring out-of-state businesses to pay business activity taxes. Mr. Rosen testified that these attempts by states to expand their taxing jurisdiction to activities conducted in other jurisdictions will create an even greater record-keeping and economic burden on the business community.
Mr. Rosen has been representing a coalition of major business corporations concerned with the issue of nexus for state and local business activity taxes.