Proposed revision of UDITPA: on May 13, 2008, Tax Executives Institute filed the following comments with the National Conference of Commissioners on Uniform State Laws concerning H.R. 3359, the Mobile Workforce State Income Tax Fairness and Simplification Act of 2007.

• Position: Uniform Division of Income for Tax Purposes Act

On behalf of Tax Executives Institute, I write about the pending project of the National Conference of Commissioners on Uniform State Laws (NCCUSL) to re-write the Uniform Division of Income for Tax Purposes Act (UDITPA).

Background

Tax Executives Institute is a voluntary, non-profit association of corporate and other business executives, managers, and administrators who are responsible for the tax affairs of their employers. TEI was organized in 1944 under the laws of the State of New York and is exempt from taxation under section 501(c) (6) of the Internal Revenue Code (26 U.S.C.). The Institute is dedicated to promoting the uniform and equitable enforcement of the tax laws, reducing costs and burdens of administration and compliance to the benefit of both the government and taxpayers, and defending the Commerce Clause and other constitutional rights of business taxpayers. TEI has more than 7,300 members who represent approximately 3,200 of the leading corporations in the United States, Canada, Europe and Asia. TEI's members represent a cross-section of the business community whose employers are, almost without exception, engaged in interstate commerce.

The NCCUSL UDITPA Project

In May 2007, TEI attended a stakeholders meeting in Washington, D.C. sponsored by NCCUSL on a possible revision of UDITPA. Recent press reports suggest that the Institute's attendance at the meeting has been construed by NCCUSL as support for the project. That is regrettable because it is simply not the case. Indeed, the Institute has not previously expressed any view on the viability or efficacy of the UDITPA revision. Thus, while our members are keenly interested in the project because of its potential...