Tim Gustafson counsels clients on all aspects of state and local tax controversy, including audits, administrative appeals and litigation. With a particular focus on California and other Western states, Tim is extensively experienced on issues and matters before the California Franchise Tax Board, the California Department of Tax and Fee Administration, the California Office of Tax Appeals, the Oregon Tax Court, the Utah State Tax Commission, and other courts and administrative bodies. Tim routinely advises financial institutions, technology service providers and retailers and manufacturers on income and franchise taxes, sales and use taxes, and key related issues including apportionment, nexus, business and nonbusiness income, penalties, deductions and credits.
Tim currently serves as Partner in Charge of the Eversheds Sutherland Sacramento office. His past experience includes serving as a Captain in the US Army Judge Advocate General’s Corps at the Netherlands Law Center for three years.
Client Tools
•Marketplace Tax
Awards and Rankings
Recipient, Law360 Distinguished Legal Writing Award, presented at the 2020 Burton Awards for Legal Achievement for co-authoring, “States Find Footing With Marketplace Legislation After Wayfair, published in August 2019 by Tax Notes (2020)
Recognized by Chambers USA: America’s Leading Lawyers for Business in the area of State and Local Tax (2018-2020)
Past recipient of The Wiley W. Manual Award for Pro Bono Legal Services
Blogs/Social Media
As technology evolves and the location of services becomes increasingly blurred, it is harder to identify where services are performed or where the benefit of a particular service is received, which may lead to the application of the final default rules under California’s cascading sourcing regulations.
Experience
“There is a natural tendency toward simply collecting and remitting what is usually a pass-through tax. That exposes the taxpayer to consumer class action lawsuits.”
Multimedia
Videocast: SALT Scoreboard - 2017 Mid-Year Review (August 15, 2017)
In the 2017 Mid-Year State Tax Review, Charles Capouet and Hanish Patel share their observations for significant state tax litigation in 2017 and compare mid-year 2017 results with 2016’s results. ...
Videocast: Eversheds Sutherland SALT Scoreboard - 2016 Year in Review (February 7, 2017)
The quarterly Eversheds Sutherland SALT Scoreboard tallies significant state and local tax litigation wins and losses. In this videocast, Charles C. Capouet and DeAndre R. Morrow share 2016 year-end ...
Videocast: Sutherland SALT Scoreboard - 2nd Quarter Highlights (August 2, 2016)
Sutherland SALT tracks and tallies significant state and local tax litigation wins and losses in the quarterly Sutherland SALT Scoreboard publication. In this videocast, Charles C. Capouet and ...
Podcast: Deciphering Wynne with Professor Walter Hellerstein (May 21, 2015)
Following the May 18th U.S. Supreme Court decision that Maryland’s personal income tax regime is unconstitutional, join Sutherland SALT and Professor Wally Hellerstein, University of Georgia Taxation ...
Videocast: Elk Hills Update (April 23, 2013)
For the first time in more than 50 years, the California Supreme Court is revisiting the application of California's property tax to intangible assets in Elk Hills Power, LLC v. California State ...
News
In the News
California appeal court upholds tax on interest dividends (August 19, 2019)
Tax Notes
Eversheds Sutherland Partner Tim Gustafson is quoted in this Tax Notes article discussing a recent decision by the California Court of Appeal, Second District. In Mass v. Franchise Tax Board, the ...
People on the Move - Timothy Gustafson (April 26, 2019)
Sacramento Business Journal
Timothy Gustafson is featured in this Sacramento Business Journal for rejoining Eversheds Sutherland’s Tax Practice Group as Partner in the Sacramento office. Tim will be an integral part of the ...
Tax Attorney Returns to Eversheds Sutherland After Year Away (March 14, 2019)
Law360
Timothy Gustafson is featured in this Law360 article discussing his recent return to Eversheds Sutherland’s Tax Practice Group as partner in the Sacramento office. Tim said his return to Eversheds ...
Combined Reporting Regime Survives Strict Scrutiny, Court Holds (November 7, 2016)
State Tax Notes
Sutherland attorney Tim Gustafson is quoted in this State Tax Notes article regarding Harley-Davidson, Inc. v. Franchise Tax Board, a case focused on a California statutory scheme regarding tax ...
Scoreboards Are Fun...Even If They Are About Taxes (April 20, 2016)
Tax Analysts
This article published by Tax Analysts focuses on the release of Sutherland’s SALT Scoreboard, a quarterly publication that tracks significant state tax litigation and controversy developments and ...
Judge Orders LA County to Recalculate TWC’s Tax Bill (July 23, 2015)
Law360
On July 23, Los Angeles Superior Court Judge Marc Marmaro ruled in favor of Time Warner Cable, which filed a lawsuit against Los Angeles seeking more than $10 million in property taxes. The judge ...
Press Releases
24 Eversheds Sutherland Practice Areas, 63 Attorneys Named Among Nation’s Best in 2020 Chambers USA (April 23, 2020)
Eversheds Sutherland is pleased to announce that 24 practices and 63 attorneys have earned recognition in the 2020 edition of Chambers USA: America’s Leading Lawyers for Business. Chambers USA, a ...
Eversheds Sutherland Tax Attorneys Win Distinguished Legal Writing Award (March 2, 2020)
Eversheds Sutherland is pleased to announce that Partner Timothy A. Gustafson, Counsel Ted W. Friedman, and Associates Alexandra M. Louderback and Chelsea E. Marmor are recipients of the “Law360 ...
19 Eversheds Sutherland Practice Areas, 55 Attorneys Named Among Nation’s Best in 2019 Chambers USA (April 25, 2019)
Eversheds Sutherland is pleased to announce that 19 practices and 55 attorneys have earned recognition in the 2019 edition of Chambers USA: America’s Leading Lawyers for Business. Chambers USA, a ...
Eversheds Sutherland Welcomes Back Tim Gustafson to Tax Practice (March 13, 2019)
SACRAMENTO-Eversheds Sutherland is pleased to welcome back Timothy A. Gustafson as a partner in the State and Local Tax (SALT) Practice. Based in Sacramento, Mr. Gustafson will be an integral part of ...
19 Eversheds Sutherland Practice Areas, 59 Attorneys Named Among Nation’s Best in 2018 Chambers USA (May 3, 2018)
Eversheds Sutherland (US) LLP is pleased to announce that 19 practices and 59 attorneys have earned recognition in the 2018 edition of Chambers USA: America’s Leading Lawyers for Business. Chambers ...
Sutherland SALT Launches “SALT Scoreboard” Publication (April 7, 2016)
ATLANTA and WASHINGTON-Sutherland Asbill & Brennan LLP is pleased to announce that the firm’s State and Local Tax (SALT) practice has launched the “SALT Scoreboard,” a quarterly publication that ...
Eversheds Sutherland Releases New Enhancements for Innovative State and Local Tax (SALT) App (April 5, 2016)
Eversheds Sutherland (US) LLP is pleased to announce several new enhancements to the Eversheds Sutherland SALT Shaker app. These improvements give users more options to customize and search content, ...
Challenge Accepted: Sutherland Offices Complete ALS Ice Bucket Challenge, Raise Funds for Charity (August 29, 2014)
ATLANTA, AUSTIN, HOUSTON, NEW YORK, SACRAMENTO and WASHINGTON-The Atlanta, Austin, Houston, New York, Sacramento and Washington offices of Sutherland Asbill & Brennan LLP recently accepted challenges ...
Eversheds Sutherland’s Innovative State and Local Tax App Now Available for Windows Phone (April 10, 2014)
Sutherland Asbill & Brennan LLP announced today the release of the Sutherland SALT Shaker app for Windows Phone. The app alerts users to important state and local tax (SALT) developments and enables ...
Sutherland Elects Five New Counsel (February 26, 2014)
ATLANTA, HOUSTON, SACRAMENTO, Calif., and WASHINGTON-Sutherland Asbill & Brennan LLP is pleased to announce the election of five new counsel, effective January 1, 2014. “Each of these lawyers ...
Presentations
“By shifting the inquiry away from the issue of the potential integration and toward the degree to which a taxpayer and an investment company do business with one another, even if at arm’s length, the FTB staked out a new litigating position.”
Presentations
Current Developments in the Pacific Northwest States (December 4, 2019)
COST Pacific Northwest Regional State Tax Seminar
Eversheds Sutherland Partners Ted Friedman and Tim Gustafson present Current Developments in the Pacific Northwest States at the COST Pacific Northwest Regional State Tax Seminar on December 4, ...
Best Practices for Resolving State Tax Disputes (November 19, 2019)
TEI Portland Chapter Seminar
Eversheds Sutherland Partner Timothy Gustafson presents “Best Practices for Resolving State Tax Disputes” at TEI Portland Chapter Seminar on November 19, 2019, in Portland, Oregon.
Simplifying Market-Based Sourcing (November 7, 2019)
California Tax Policy Conference
Eversheds Sutherland Partner Timothy Gustafson presents Simplifying Market-Based Sourcing at the California Tax Policy Conference on November 7, 2019, in San Diego, California.
Because You Know I’m All About the Base: Unitary Businesses, Combined Reporting and Tax Havens (September 18, 2019)
TEI Seattle Chapter Meeting
Eversheds Sutherland Partners Timothy Gustafson and Maria Todorova present Because You Know I’m All About the Base: Unitary Businesses, Combined Reporting and Tax Havens at the TEI Seattle Chapter ...
Discussion of State Tax Cases, Issues and Policy Matters to Watch (August 29, 2019)
COST Philadelphia Regional Meeting
Eversheds Sutherland Partners Timothy Gustafson and Todd Lard present Discussion of State Tax Cases, Issues and Policy Matters to Watch at the COST Philadelphia Regional Meeting on August 29, 2019, ...
Ask the Experts Panel with Focus on Gross Receipts Taxes (What’s Old is New Again!!) (July 30, 2019)
COST State Indirect Tax Seminar
Eversheds Sutherland Partner Tim Gustafson presents Ask the Experts Panel with Focus on Gross Receipts Taxes (What’s Old is New Again!!) at the COST State Indirect Tax Seminar on July 30, 2019, in ...
Decisions, Decisions: Tax Reform State Income Tax Filing Issues (June 4, 2019)
TEI SALT Day
Eversheds Sutherland attorneys Timothy Gustafson and Todd Betor present Decisions, Decisions: Tax Reform State Income Tax Filing Issues at the TEI SALT Day on June 4, 2019, in Santa Clara, California.
The Next Chapter in Transfer Pricing (June 4, 2019)
TEI SALT Day
Eversheds Sutherland Partners Jeffrey Friedman, Robert Chase and Timothy Gustafson present The Next Chapter in Transfer Pricing at the TEI SALT Day on June 4, 2019, in Santa Clara, California.
Ethical Dilemmas Facing State Tax Professionals (May 23, 2019)
2019 Audit and Appeals Conference
Eversheds Sutherland attorneys Daniel Schlueter, Timothy Gustafson and Todd Betor present Ethical Dilemmas Facing State Tax Professionals at the 2019 Audit and Appeals Conference on May 23, 2019, ...
State Tax Litigation Survival Guide: Preparing for Litigation (May 22, 2019)
2019 Audit and Appeals Conference
Eversheds Sutherland attorneys Charles Kearns, Timothy Gustafson and Open Weaver Banks present State Tax Litigation Survival Guide: Preparing for Litigation at the 2019 Audit and Appeals Conference ...
Publications
“The Large Corporate Understatement Penalty is a strict liability penalty with few exceptions to its imposition.”
Legal Alerts
Louisiana Legislature passes Marketplace Collection Bill (May 28, 2020)
On May 28, 2020, the Louisiana Legislature passed S.B. 138, which, if signed by the Governor, will require marketplace facilitators to collect and remit state and local sales and use taxes if they ...
MTC 2020 spring committee meetings (April 23, 2020)
For the first time in its history, the Multistate Tax Commission (MTC) held its 2020 Spring Committee Meetings via teleconference in lieu of the in-person meetings originally scheduled to take place ...
MTC spring committee meetings - executive committee (April 23, 2020)
On April 23, 2020, the Multistate Tax Commission (MTC), as part of its 2020 Spring Committee Meetings, held a meeting of its Executive Committee by teleconference. Over the prior two days, the MTC ...
Down a rabbit hole: New Jersey regulations provide guidance on GILTI and FDII apportionment (April 22, 2020)
The New Jersey Division of Taxation (Division) quietly issued special regulations addressing the inclusion and apportionment of global intangible low-taxed income (GILTI) and foreign-derived ...
COVID-19 telework triggers state tax withholding guidance (April 20, 2020)
COVID-19 telework triggers state tax withholding guidance
With the majority of the nation facing limitations on business travel and mandatory stay-at-home orders, states and localities are beginning to issue guidance on the impact that COVID-19 disruptions ...
Inside California’s Office of Tax Appeals (April 13, 2020)
The Office of Tax Appeals (OTA) was established in 2017 as California’s new administrative appeals forum. Born from controversy, the agency was designed to function as an independent and impartial ...
New York budget bill passes legislature (April 7, 2020)
The New York Legislature has approved budget legislation for the Fiscal Year 2021 (the Budget Bill). Consistent with Governor Andrew Cuomo’s earlier promises, the Budget Bill does not contain ...
Texas Trifecta - Texas Supreme Court issues three decisions on cost of goods sold deductions (April 6, 2020)
On Friday, April 3 the Texas Supreme Court issued three decisions addressing the availability and scope of the cost of goods sold, or “COGS,” deduction. Hegar v. American Multi-Cinema Inc. The ...
TCJA’s NOL limitations rolled back in congressional COVID-19 response (April 3, 2020)
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act). Passed in response to the economic repercussions of the COVID-19 pandemic, the ...
Eversheds Sutherland files an amicus curiae brief on behalf of COST (April 3, 2020)
Eversheds Sutherland has filed an amicus curiae brief on behalf of the 550 members of the Council On State Taxation (COST) on an important issue as to whether a California imposition of certain local ...
Articles
What California Office Of Tax Appeals Says About Income Sourcing (April 8, 2020)
Law360
Since its inception, California's Office of Tax Appeal’s docket has been flooded with personal income tax cases, leaving many corporate taxpayers to wonder how the agency will rule on a wide array of ...
Corporate Taxpayers Can Be Hopeful About California Tax Appeals (April 7, 2020)
Law360
In the California Office of Tax Appeal’s brief two-year history, the state tax agencies have prevailed in the vast majority of cases. Fortunately for corporate taxpayers, the vast majority of cases ...
California Tax Appeals Office Shows Impartiality In Its 1st Years (April 6, 2020)
Law360
California's Office of Tax Appeals recently kicked off its third year hearing California state tax appeals. As one of the state’s newest agencies, it remains unclear how the OTA will evolve. However, ...
California Ruling May Curb Aggressive Foreign LLC Taxation (October 9, 2019)
Law360
On July 8, in Appeal of Jali, the California Office of Tax Appeals reversed the Franchise Tax Board’s denial of an out-of-state limited liability company’s refund claim finding that the foreign LLC ...
States find footing with marketplace legislation after Wayfair (August 26, 2019)
Tax Notes
In their article for Tax Notes: State, Eversheds Sutherland attorneys Timothy Gustafson, Ted Friedman, Chelsea Marmor and Alexandra Louderback examine the marketplace legislation of California and ...
INSIGHT: San Francisco court ruling could lead to increased local taxes across the state (August 7, 2019)
Bloomberg Tax
The voter-initiated San Francisco tax to fund services for the homeless recently survived a court challenge. In this article published by Bloomberg Tax, Eversheds Sutherland attorneys Tim Gustafson ...
Many State Tax Incentives Are Now Taxable Due to Federal Tax Reform (January 8, 2018)
Bloomberg - Daily Tax Report: State
Recently enacted federal tax reform is expected to generate $6.5 billion in additional federal revenue through 2027 by increasing corporate tax liability for certain state and local incentives. In ...
A Pinch of SALT: Maryland’s Alternative Apportionment Violates Internal Consistency (January 1, 2018)
State Tax Notes
In this edition of A Pinch of SALT, Eversheds Sutherland attorneys Jeffrey Friedman, Timothy Gustafson and DeAndre Morrow discuss the Maryland comptroller’s use of alternative apportionment for ...
Many Questions Unanswered After California’s Tax Shakeup (October 6, 2017)
Law360
In June, California overhauled the state’s Board of Equalization (BOE) and created two new tax agencies. A bill signed by California Governor Jerry Brown in September further clarified and defined ...
Economic Nexus and the Water’s-Edge Election in California (September 23, 2016)
Law360
The California Franchise Tax Board (FTB) recently addressed the convergence of the provisions governing a water’s-edge election and those that define “doing business” in California, describing the ...
Newsletters
Eversheds Sutherland SALT Scoreboard (Quarter 1, 2020)
This is the first edition of the Eversheds Sutherland SALT Scoreboard for 2020. Since 2016, we have tallied the results of what we deem to be significant taxpayer wins and losses and analyzed those ...
Eversheds Sutherland SALT Scoreboard (Quarter 4, 2019)
This is the final 2019 edition of the Eversheds Sutherland SALT Scoreboard. Since 2016, we have tallied the results of what we deem to be significant taxpayer wins and losses and analyzed those ...
Eversheds Sutherland SALT Scoreboard (Quarter 3, 2019)
This is the third edition of the Eversheds Sutherland SALT Scoreboard for 2019. Since 2016, we have tallied the results of what we deem to be significant taxpayer wins and losses and analyzed those ...
Eversheds Sutherland SALT Scoreboard (Quarter 2, 2019)
This is the second quarter edition of the Eversheds Sutherland SALT Scoreboard for 2019. Since 2016, we have tallied the results of what we deem to be significant taxpayer wins and losses and ...
Eversheds Sutherland SALT Scoreboard (Quarter 1, 2019)
This is the first edition of the Eversheds Sutherland SALT Scoreboard for 2019. Since 2016, we have tallied the results of what we deem to be significant taxpayer wins and losses and analyzed those ...
Eversheds Sutherland SALT Scoreboard (Quarter 1, 2018)
This is the ninth edition of the Eversheds Sutherland SALT Scoreboard, and the first of 2018. Each quarter, we tally the results of what we deem to be significant taxpayer wins and losses and analyze ...
Eversheds Sutherland SALT Scoreboard (Quarter 4, 2017)
This is the fourth quarter and year-end wrap-up of the 2017 Eversheds Sutherland SALT Scoreboard. Each quarter, we tally the results of what we deem to be significant taxpayer wins and losses and ...
Eversheds Sutherland SALT Scoreboard (Quarter 2, 2017)
This is the sixth edition of the Eversheds Sutherland SALT Scoreboard. Each quarter, we tally the results of what we deem to be significant taxpayer wins and losses and analyze those results. This ...
Eversheds Sutherland SALT Scoreboard (Quarter 1, 2017)
This is the fifth edition of the SALT Scoreboard, and the first as Eversheds Sutherland! Each quarter, we tally the results of what we deem to be significant taxpayer wins and losses and analyze ...
February 2017 SALT Shaker Newsletter (February 2017)
