Last week at the NYU Intermediate Summer SALT Seminar, tax department leaders from across the country participated in a roundtable discussion, addressing topics such as department staffing, information sharing among states, and — everyone's favorite — the fairness of retroactive legislation. My partner, Alysse McLoughlin, moderated the panel.

On the topic of retroactive legislation, Amanda Hiller, the acting tax commissioner and general counsel of the New York State Department of Taxation and Finance, said she is supportive of retroactive legislation because it is often an attempt to clarify legislative intent. “Your retroactive tax legislation is our corrective legislation,” she said.  She also pointed out that courts have upheld retroactive legislation against taxpayer challenges.   

Alysse responded, noting that,

even if nothing is technically preventing retroactive legislation, retroactive legislation seems inequitable when taxpayers really have no notice.

When it comes to the Department of Taxation and Finance's Regulations, the acting commissioner said the Department understands “we cannot hold taxpayers accountable for a rule they didn’t know before.”