close
Share with your friends

Ninth Circuit’s decision upholding section 482 stock-based compensation regulations is final

Section 482 stock-based compensation regulations

A decision of the U.S. Court of Appeals for the Ninth Circuit is reported to be final.

1000

Related content

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 name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained 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.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal