David W. Bunning is a tax litigator with a wide range of experience in federal, state, and local tax litigation audits, appeals, and controversies, including prior service as a trial attorney with the Tax Division of the U.S. Justice Department. His practice also focuses on issues of state and local taxation. David is a member of the bars of California and New York and has advised on and litigated federal, state and local tax issues in a variety of jurisdictions and forums. Areas of Concentration · Federal, state and local tax controversies, including audits, appeals, administrative proceedings, and litigation. · State and local taxation, including personal income taxes, domicile and residence issues, allocation issues, corporate income and franchise taxes, multi-state tax issues, sales and use taxes, real estate transfer tax, New York City utility tax and commercial rent and occupancy tax, and tax credits. · Federal taxation, including income, withholding, estate, gift and excise taxes, worker classification issues, facade easements, reasonable compensation, transfer pricing, pass-through entities, tax-exempt entities, and tax credits. · Federal, state and local tax collection matters, including offers in compromise, payment agreements, responsible officer issues, lien and levy issues, abatement of penalties and interest, transferee liability issues, and voluntary disclosures. Significant Representations · Numerous personal income tax audits involving issues of domicile, residence, and allocation of income. · Numerous sales tax audits involving a variety of industries, services, products and issues, many of which resulted in refunds to clients. · In a case of first impression, represented corporation in U.S. District Court in obtaining a multi-million refund in federal income tax and interest for Targeted Jobs Tax Credits for which no state certifications were issued. Perdue Farms, Inc. v. United States, 1999 U.S. Dist. Lexis 10774, 99-2 U.S. Tax Cas. (CCH) ¶50,659, 84 A.F.T.R.2d (RIA) 5216 (D. Md.,1999). · Represented individuals assessed with sales tax for purchase of tools and equipment used in performing the taxable service of asbestos removal, resulting in New York State not only conceding the case, abating the assessment, and refunding the tax collected, but also issuing an advisory opinion reversing its previous position and determining that such purchases are not taxable. · A number of estate and gift tax cases involving transfers of family limited partnership interests and other assets, resulting in settlements significantly below the proposed assessments. · Audits and proceedings before the New York State Division of Tax Appeals including
- the audit of an individual with over $5 million of income involving issues of domicile, residence, and allocation which resulted in no additional tax due, and
- a case in which assessments of over $400,000 in tax and interest were canceled after it was proved that the State mailed notices of deficiency to the wrong address. · Offers in compromise and installment payment agreements, issues involving tax liens and tax levies and other collection devices, freezes on collection, abatement of penalties, abatement of interest and voluntary disclosures. Professional & Community Involvement · Member, American Bar Association, Tax Section · Member, New York State Bar Association, Tax Section · Member, California State Bar Association, Tax Section · Member, New York City Bar Association and its State and Local Taxation Committee Awards & Recognition · Listed, Legal 500 US, 2011 · Selected, Super Lawyers magazine, 2007-2011 Government Service · Trial Attorney, Tax Division, Civil Trial Section, Western Region, U.S. Department of Justice, 1984-1988 (Honors Program) Federal Clerkship · Law Clerk, Honorable Lawrence T. Lydick, U.S. District Judge, Los Angeles, California, 1982-1984 Articles, Publications, & Lectures Alerts · 9/12/11: New York State Makes Two Taxpayer Friendly Changes in its Tax Collection Procedures · 4/29/11: Two Recent New York Tax Decisions Reaffirm the Need to Make Proper Sales Tax Bulk Sales Filings · 4/8/11: California Offers New Voluntary Compliance Initiative for Abusive Tax Avoidance Transactions and Offshore Financial Arrangements · 4/4/11: New Jersey Announces Second Offshore Voluntary Compliance Initiative · 12/28/10: New Jersey Reaffirms the Draconian Scope of its Bulk Sale Law · 9/16/10: Illinois Offers a Tax Amnesty Eliminating Interest and Penalties · 9/1/10: New York's 2010 Budget Increases Tax Rates, Reduces Deductions and Defers Credits · 12/14/09: New York State Enacts Brief Program to Eliminate up to 80% of Interest and Penalties on Older Tax Liabilities · 11/10/09: New Jersey Announces Offshore Voluntary Compliance Initiative · 10/6/09: Connecticut Announces Offshore Voluntary Disclosure Program · 5/15/09: New York Increases Tax Rates and Penalties and Adds New Taxes and Penalties to Reduce Deficit · 5/7/09: New York State Now Taxes Non-Resident's Gain from Sale of Interests in an Entity that Holds New York Real Property · 4/24/09: New York Replenishes Fund for 30 Percent Tax Credit on Qualified Film Productions Completed in 2009 · 3/27/09: New Jersey to Offer a Brief Tax Amnesty · 3/19/09: New York Repeals Temporary Stay Exception for Income Tax · 2/26/09: ALJ Opinions Affirm that No New York Income Tax is Due Where Employee Stock Options are Exercised by a Non-Resident in a Year in Which No Days are Worked in New York · 5/20/08: New York State Triples Tax Credit for Qualified Film Production Costs to 30% · 2/15/08: The Newest Challenge to Giving Tax Advice -- Return Preparer Penalties · 11/1/06: Refunds of New York State Income Tax May be Available Following Tax Appeals Tribunal Decision · 9/1/06: Banks and Other Lienholders Need to Defend Against IRS Levy Even if They Have a Superior Lien or a Right of Setoff · 8/1/03: New York Enacts Estimated Tax Payment Requirement for Sales of Real Estate by Non-Residents · 11/1/02: New York State Offers Tax Amnesty · 5/1/02: Did You Pay Too Much New York Sales Tax on That Computer Hardware? · 3/1/02: New York Affirms that a Contribution of Capital to a Corporation May Be a Sale Subject to Sales Tax · 11/1/99: GT Attorneys Secure Targeted Job Tax Credits Articles · Author, "New York's 2010 Budget Increases Tax Rates, Reduces Deductions and Defers Credits," Practical U.S. / Domestic Tax Strategies, August 2010 · Co-author, "State Now Taxes Non-Resident's Gain from Sale of Interests in an Entity that Holds New York Real Property," Practical U.S. / Domestic Tax Strategies, May 2009 · Co-author, "New Penalties Apply to Gift and Estate Tax Return Preparers - Trust & Estate Attorneys Beware," Warren's Heaton Legislative & Case Digest, December 2007 · Author, "Banks and other Lienholders Need to Defend Against IRS Levy Even if They Have a Superior Lien or a Right of Setoff," The Banking Law Journal, November/December 2006 · Author, "Refunds-And Broader Implications-Result From Jobs Credit Certification Decision In Perdue Farms," CCH Federal Tax Weekly, July 15, 1999 · Author, "Sixth Circuit's De Novo Standard For Review Of Substantial Understatement Penalty Allows Taxpayers Second Chance," CCH Federal Tax Weekly, November 19, 1998 · Author, "Supreme Court's Approval of Allocation of Administrative Expenses To Income Preserves Estate's Marital And Charitable Deductions," CCH Federal Tax Weekly, May 8, 1997 · Authored article on New York State sales tax as it applies to a vendor's purchase of tangible personal property used in providing a taxable service (ABA The State and Local Tax Lawyer, May 1997) · Author, "Tax Consequences of Estate's Allocation of Administrative Expenses," CCH Federal Taxes Weekly, February 6, 1997 · Author, "New York Court Denies Deferred Sale Treatment for Gains Tax on Eminent Domain Taking," RIA State and Local Taxes Weekly, May 13, 1996 · Author, "New York Upholds Auto Damage Sales Tax Withholding," RIA State and Local Taxes Weekly, January 23, 1995 · Author, "State Regulation of Indian Traders to Collect Cigarette Taxes is Not Preempted by Federal Law," RIA State and Local Taxes Weekly, July 1994 · Authored article on the enforcement of IRS summonses issued at the request of a treaty partner of the United States (22 Int'l Lawyer 989, Winter 1988) Lectures · Speaker, "New York State Tax Issues for Temporary Workers and Telecommuters, " Lunch hosted by Lexis-Nexis at the 27th annual New York CPA Business and Technology Conference, hosted by the New York State Society of CPAs, July 17, 2006 · Speaker, Foundation for Accounting Education, Small Business Consulting Conference, September 25, 1996 |