The drafting committee established by the National Conference of Commissioners on Uniform State Laws (NCCUSL) to revise the Uniform Division of Income for Tax Purposes Act (UDITPA) scheduleded its first meeting for May 30-31, 2008. Ethan Millar, the American Bar Association's representative on the drafting committee, attended this meeting. All ABA members were encouraged to submit written questions or comments to Mr. Millar regarding this uniform legislation either by e-mail (email@example.com), fax (404-253-8337) or mail (Alston & Bird LLP, 1201 W. Peachtree Street, Atlanta, GA 30309). All questions or comments received prior to the May meeting were discussed at that meeting.
UDITPA was created by NCCUSL in 1957 to provide uniform state income tax rules for determining how to allocate and apportion the income of taxpayers among the states in which the taxpayers do business. About half the states have adopted UDITPA and most of the other states have statutes that are generally consistent with UDITPA's basic approach. The drafting committee will initially be focusing on Section 17 of UDITPA, which involves the sourcing rules for transactions other than sales of tangible personal property (e.g., sales of services and intangibles). However, the committee will also engage in a comprehensive review of the act, and therefore any UDITPA provisions are potentially subject to revision.
May 30-31, 2008