The Second Circuit reverses the Tax Court’s decision, holding instead that trademark royalty payments which are calculated as a percentage of sales and incurred on upon the sale of inventory are currently deductible.
Robinson Knife Mfg. v. Commissioner, Docket 09-1496-ag (2d Cir. March 19, 2010)
The 9th Circuit Court of Appeals affirmed the Tax Court’s cost-sharing analysis in Xilinx.
Read the opinion here:
Xilinx v. Commissioner, Docket 06-74269 (9th Cir. March 22, 2010)
See the Service’s AOD (Action on Decision) following this opinion click here.