A decision of the U.S. Court of Appeals for the Ninth Circuit is reported to be final.
On November 20, 2019, the U.S. Court of Appeals for the Ninth Circuit issued the mandate, formally entering judgement of its June 7, 2019 decision, Altera Corp. v. Commissioner. The mandate is issued seven days after the denial of a petition for rehearing en banc, unless a motion to stay the mandate is granted pending a petition for certiorari to the U.S. Supreme Court. On November 12, the Ninth Circuit denied the taxpayer’s motion for rehearing en banc. Read TaxNewsFlash for a KPMG report on the petition for rehearing en banc.
In June 2019, the Ninth Circuit reversed a 2015 decision of the Tax Court that had invalidated a Treasury regulation under section 482 (Reg. § 1.482-7A(d)(2)) that requires participants in a qualified cost-sharing arrangement (QCSA) to share the cost of employee stock-based compensation. Read TaxNewsFlash for a KPMG report on the June 2019 decision by the Ninth Circuit.
The taxpayer has 90 days from November 12, 2019 (the date of the denial of the motion for rehearing en banc) to file a petition for certiorari with the U.S. Supreme Court.
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.