David is a partner in HMB’s State and Local Tax (SALT) Group and is a member of HMB’s Board of Directors. He helps clients limit their state and local tax exposure through sensible planning and, when necessary, vigorous litigation strategies.
David advises Fortune 500 companies, privately-held companies, middle-market businesses and individuals on strategies to minimize their state and local tax exposure, maintain compliance and reduce the risk of audit problems. This includes income tax, sales/use tax, franchise tax, gross receipts tax, and unclaimed property matters involving nexus, apportionment, business income, unitary business groups, credits, losses and exemptions.Read More
In addition to helping clients all over the country structure their businesses to reduce state and local tax liabilities, David represents them in audits, administrative proceedings, litigation and appeals. He has argued cases for clients at the Illinois Supreme Court, the Illinois Appellate Court and the New York Supreme Court (Appellate Division). In addition to Illinois, David is licensed to practice in Wisconsin.
Multistate Expertise, National Impact
As an active thought leader and speaker in the SALT community, as well as an adjunct professor at Northwestern University Pritzker School of Law, David offers a unique perspective and knowledge drawn from years of hands-on, practical experience.
The Illinois Supreme Court recently ruled Cook County may not spend its transportation tax revenue on non-transportation-related purposes. David A. Hughes told Tax Notes the decision underscores that a home rule jurisdiction’s spending authority is not unlimited.
One of the most relevant and complex issues in state tax today is how states should tax partnerships. In Law360’s “3 Things To Know About State Taxation Of Partnerships Now,” David A. Hughes discusses recent cases that are causing controversy in state tax partnership law.
The U.S. Supreme Court recently denied a petition from a multistate business that claimed New Jersey’s partnership filing fee was unconstitutional. According to David A. Hughes, there was little question that New Jersey’s fee fails the internal consistency test.
David A. Hughes found the court’s ruling surprising, as Apple had previously amended its complaint and tax matters are rarely dismissed for failure to sufficiently state a claim.
David A. Hughes and Samantha K. Breslow Discuss Chicago’s Cloud Tax and Audits with Bloomberg Law.
David A. Hughes and Jordan M. Goodman will provide a National SALT Update at the AGN North America Regional Meeting. They will cover recent and noteworthy SALT developments including nexus, remote workers, sourcing, digital goods, SAAS, cloud computing and more.
HMB is proud to be a sponsor of the Council on State Taxation (“COST”) and the Chicago Tax Club (“CTC”) 2022 Mid-West Regional State Tax Seminar. Join David A. Hughes, Marilyn A. Wethekam, David W. Machemer and Dakota S. Newton for various SALT updates.
How states obtain revenue has come under more intense scrutiny due to the COVID-19 pandemic. On April 26th, David A. Hughes will discuss the merits of different revenue sources, give state examples that have succeeded and failed and share the latest state policy proposals at the Sales Tax Institute's Advanced Sales and Use Tax Workshop.
David A. Hughes and Samantha K. Breslow will provide a state and local tax update at the Illinois CPA Society Corporate Finance Conference.
David A. Hughes moderates, “State Transfer Pricing: Challenges, Issues and Opportunities for Multistate Taxpayer” at the ABA/IPT Virtual 2022 Advanced Tax Seminars.
In his article, David A. Hughes discusses how to approach unclaimed property self-audits and provides a brief history and overview of Illinois’s Unclaimed Property Act.
David's article explores the ramifications of treating something as tangible personal or real property for sales/use and property tax purposes, specific to the telecommunication industry.
Effective January 1, 2022, the California Franchise Tax Board (“FTB”) has the authority under Assembly Bill 466 to share information with the State Controller’s Office (“SCO”) relating to a taxpayer’s compliance with the California’s unclaimed property laws. To gather this information, the FTB has added a few questions to California’s business entity tax returns for tax year 2021, including whether…
As we move into harvest season, we here at Cover Your SaaS (CYS) have cultivated a fresh crop of updates for your enjoyment. Keen observers will note that there has been a somewhat larger gap than usual between newsletters and we admit, it has been a minute. Of course, absence makes the heart grow fonder so we are excited to…
With the holidays upon us, it seems like a good time to take a pleasant stroll through the cloud computing and digital product SALT developments you and your clients should be aware of. We returned to the “classic” format for this edition, organizing the stories by jurisdiction, headlining them in summary fashion, and then providing context and snappy analysis. If you have follow-up questions, please let us know.
Welcome to the third edition of Cover Your SaaS. Following a brief mid-summer hiatus from which the authors returned pale as ever, we dive once more into the cloud computing and digital product SALT developments you and your clients should be aware of. This is a bumper edition, so we have organized the updates by general topic rather than solely by jurisdiction.
Welcome to the second edition of Cover Your SaaS, your new favorite(ish) semi-regular publication from HMB Legal Counsel’s State & Local Tax team. Far from accepting a sophomore slump, this edition boldly delves into SALT developments in the digital products sphere, the importance of separately stating charges, and the dangers of straying into taxable telecommunications.