10th Circuit: Warranty Income Cannot be Measured by Percentage of Completion

The Tenth Circuit reverses and remands to the District Court. The percentage of completion method of accounting cannot be used to record income from a warranty.

Koch Industries v. United States, Docket 08-3347 (10th Cir. Apr. 27, 2010)

U.S. Supreme Court: Deferential Standard Owed to ERISA Administrator’s Interpretation

The United States Supreme Court reversed the Second Circuit Court of Appeals, holding that the District Court should have applied a deferential standard of review to the ERISA Plan Administrator’s interpretation of the qualified plan.

Read the opinion here:
Conkright v. Frommert, Docket 08-810 (U.S. Sup. Ct. 2010)

Tax Court: Facts not Licensing Determines Personal Service Corporation Treatment

The Tax Court, Judge Dawson, holds that all relevant indicia, not state licensing requirements, is the standard for determining whether a taxpayer’s land surveying service constitutes the performance of services in the field of engineering qualifying for personal service corporation treatment under section 448.

Read the opinion here:
Kraatz & Craig Surveying Inc. v. Commissioner, 134 T.C. No. 8 (2010)