영문목차
Chapter 1. Introduction=3
Case Example=4
Chapter 2. Overview of Intellectual Property=7
Ⅰ. Assignment for Chapter 2=7
Ⅱ. Problems for Chapter 2=7
Ⅲ. Overview=8
A. Patents=8
Types of Patents=12
B. Trade Secrets=13
C. Copyrights=15
D. Trademarks, Trade Names, and Trade Dress=16
E. Domain Names=18
F. Computer Software=19
Ⅳ. Materials=20
Diamond v. Chakrabarty=20
Feist Publications, Inc. v. Rural Telephone Service Co=22
Community for Creative Non-Violence v. Reid=24
Holtzbrinck Publishing Holdings v. Vyne Communications=26
Data General Corp. v. Grumman Systems Support Corp=32
Two Pesos, Inc. v. Taco Cabana, Inc=39
Interstellar Starship Services, Ltd. v. Tchou=41
Chapter 3. Overview of Federal Income Taxation=51
Ⅰ. Assignment for Chapter 3=51
Ⅱ. Problems for Chapter 3=51
Ⅲ. Overview=53
A. Structure of the Federal Income Tax System=54
1. Gross Income=54
2. Deductions=57
3. Tax Rates=60
4. Tax Credits=64
B. Researching Federal Tax Law=64
1. The Internal Revenue Code=64
2. Treasury Regulations=65
3. IRS Rulings and Procedures=66
(a) Revenue Rulings=66
(b) Private Letter Rulings=66
(c) Revenue Procedures=67
4. Case Law=67
5. Legislative History=68
Ⅳ. Materials=68
Commissioner v. Groetzinger=68
Welch v. Helvering=72
Commissioner v. Lincoln Savings & Loan Ass'n=74
INDOPCO, Inc. v. Commissioner=79
Waterman v. Mackenzie=84
Burnet v. Logan=85
Williams v. McGowan=87
Raytheon Production Corp. v. Commissioner=89
Chapter 4. Taxation of Intellectual Property Development=91
Ⅰ. Assignment for Chapter 4=91
Ⅱ. Problems for Chapter 4=91
Ⅲ. Overview=93
A. Deductibility Under §162-Ordinary and Necessary Business Expenses=93
1. The "Expense" Requirement=94
(a) Section 263(a):Capital Expenditures=94
(b) Section 263A:Direct and Indirect Expenditures Incurred to Produce Tangible Property=96
2. The "Ordinary and Necessary" Requirement=97
3. The "In Carrying on a Trade or Business" Requirement=97
B. Deductibility Under§174-Research and Experimental Expenditures=99
1. Research and Experimental Expenditures=99
2. Disqualified Expenditures=100
3. "In Connection with a Trade or Business" Requirement=101
4. Reasonableness of Expenditures=103
5. The Election to Expense or Amortize=103
(a) Current Expense Method=103
(b) Deferred Expense(Amortization) Method=103
C. Alternative Minimum Tax Considerations=104
D. Amortization of Capitalized Intellectual Property Development Costs=105
E. The §41 Research and Development Credit=106
1. "Qualified Research" Defined=106
(a) Discovery Test=106
(b) Process of Experimentation=107
2. Activities Excluded from "Qualified Research"=108
(a) Research After Commercial Production=108
(b) Internal-Use Computer Software=109
Ⅳ. Materials=110
RJR Nabisco, Inc. v. Commissioner=110
Action on Decision=116
Technical Advice Memorandum 9643003=117
I.R.S. Notice 88-62=121
Vitale v. Commissioner=126
Field Service Advice 200125019=135
Snow v. Commissioner=141
Green v. Commissioner=143
Revenue Procedure 2000-50=148
Chapter 5. Taxation of Intellectual Property Acquisitions=151
Ⅰ. Assignment for Chapter 5=151
Ⅱ. Problems for Chapter 5=151
Ⅲ. Overview=153
A. Purchase Costs=153
1. Amortization Under §197=154
(a) General Rule=154
(b) Exceptions for Certain Intellectual Property=154
(c) Computing the §197 Deduction=156
2. Amortization Under §167=157
(a) General Rule=157
(b) Computing the §167 Deduction=157
B. Licensing of Intellectual Property=160
1. Licenses Acquired as Part of a Trade or Business=160
2. Licenses Not Acquired As Part of a Trade or Business=161
C. Income from Holding Intellectual Property=161
Ⅳ. Materials=162
Revenue Ruling 71-177=162
Revenue Ruling 60-358=163
Revenue Ruling 79-285=164
Greene v. Commissioner=167
Associated Patentees, Inc. v. Commissioner=171
Revenue Ruling 67-136=175
Private Letter Ruling 200137013=176
Chapter 6. Taxation of Intellectual Property Transfers=181
Ⅰ. Assignment for Chapter 6=181
Ⅱ. Problems for Chapter 6=181
Ⅲ. Overview=183
A. Sales of Intellectual Property=185
1. General Characterization Provisions=186
(a) The Sale or Exchange Requirement=187
(b) The Definition of Capital Asset=187
(c) Holding Period=189
2. Special Characterization Provisions=189
(a) Section 1231:Quasi-Capital Assets=189
(b) Section 1235:Transfers of All Substantial Rights to Patents=190
(c) Sections 1239 and 707(b) Ordinary Income=193
(d) Section 1245 Recapture=194
(e) Section 1253 Transfers=195
3. Contingent Payment Sales=195
B. Licenses of Intellectual Property=197
C. Transfers to Business Entities=197
D. Transfers to Charitable Organizations=199
Ⅳ. Materials=200
Watson v. Commissioner=200
Revenue Ruling 60-226=202
Stern v. United States=203
Levy v. Commissioner=208
Chilton v. Commissioner=210
Kueneman v. Commissioner=217
E.I. du Pont de Nemours & Co. v. United States=224
Revenue Ruling 78-328=228
Newton Insert Co. v. Commissioner=229
Stokely USA, Inc. v. Commissioner=236
Chapter 7. IP Holding Companies and R&D Limited Partnerships=243
Ⅰ. Assignment for Chapter 7=243
Ⅱ. Problems for Chapter 7=243
Ⅲ. Overview=244
A. Intellectual Property(IP) Holding Companies=245
1. Formation of IP Holding Companies=246
(a) Tax Treatment of Parent Company=246
(b) Tax Treatment of IP Holding Company=247
2. Transfer-License Back Intellectual Property Arrangements=247
(a) Tax Treatment of IP Holding Company=248
(b) Tax Treatment of the Parent Company=249
3. Dividend Distributions to Parent Company=251
4. Liquidations of IP Holding Companies into Parent Companies=252
(a) Tax Treatment of the Parent Company=252
(b) Tax Treatment of the IP Holding Company=252
B. Research and Development(R&D) Limited Partnerships=253
1. Formation of R&D Limited Partnerships=255
(a) Partner-Level Consequences=255
(b) Partnership-Level Consequences=256
2. Operation of R&D Limited Partnerships=256
(a) Basic Structure of Partnership Taxation=256
(b) Non-Liquidating Distributions of Cash and Property to Partners=257
3. Liquidation of R&D Limited Partnerships=258
Ⅳ. Materials=258
Delaware State Statute(Del. Code Ann. tit. 30, §1902)=258
Vermont State Statute(Vt. Stat. Ann. tit. 32, §5837)=259
Massachusetts State Statute(M.G.L.A. 62C, §3A)=259
Geoffrey, Inc. v. South Carolina Tax Commission=260
Acme Royalty Co. v. Director of Revenue=264
SYL v. Comptroller of the Treasury=271
Syms Corp. v. Commissioner of Revenue=275
In re Sherwin-Williams Co=279
Sherwin-Williams C. v. Commissioner=283
Department of Taxes, State of Vermont=290
Harris v. Commissioner=292
Scoggins v. Commissioner=298
Chapter 8. Taxation of Intellectual Property Litigation=305
Ⅰ. Assignment for Chapter 8=305
Ⅱ. Problems for Chapter 8=305
Ⅲ. Overview=307
A. Tax Treatment of Intellectual Property Litigation Costs=307
1. Litigation Costs in Patent and Copyright Cases=308
2. Litigation Costs in Trademark Cases=309
(a) Litigation Costs Incurred in Trademark Infringement Cases=309
(b) Litigation Costs Incurred in Unfair Competition Claims=309
B. Tax Treatment of Damage Awards and Settlement Proceeds in Intellectual Property Suits=310
1. Damage Awards or Settlement Proceeds in Patent/Copyright Cases=310
2. Damage Awards/Settlement Proceeds in Trademark Cases=311
3. Tax Treatment of Awards of Attorneys' Fees and Costs=311
C. Tax Treatment of Payments of Acquiring Intellectual Property Liability=312
Ⅳ. Materials=312
Safety Tube Corp. v. Commissioner=312
Urquhart Y. Commissioner=314
Danskin, Inc. v. Commissioner=317
Georator Corp. v. United States=318
Rust-Oleum Corp. v. United States=320
Big Four Industries, Inc. v. Commissioner=325
Mathey v. Commissioner=326
Inco Electroenergy Corp. v. Commissioner=329
Illinois Tool Works v. Commissioner=334
Field Service Advisory 199925012=339
Chapter 9. Taxation of International IP Transactions and Cost Sharing Arrangements=345
Ⅰ. Assignment for Chapter 9=345
Ⅱ. Problems for Chapter 9=345
Ⅲ. Overview=347
A. Outbound Transactions=348
1. General Taxing Rules=348
(a) Foreign Business Operations Conducted Directly by U.S. Persons=348
(b) Foreign Business Operations Conducted Indirectly=348
2. The Foreign Tax Credit=350
B. Inbound Transactions=351
1. General Taxing Rules=351
2. Taxation of Business Income=351
(a) In General=351
(b) Treaty Exceptions=352
3. Taxation of Non-Business Income from U.S. Sources=353
(a) "Fixed or Determinable, Annual or Periodical" Income=353
(b) Treaty Exceptions=353
C. Source Rules=354
1. Income Source Rules=354
(a) Personal Services=354
(b) Royalties=354
(c) Sales=355
(d) Infringement Awards=356
2. Deduction Allocation and Apportionment Rules=356
(a) In General=356
(b) Research and Development Expenditures=356
D. The Role of Treaties=357
1. In General=357
2. The Relationship Between Treaties and the Code=357
E. Section 367(d):Transfers to Foreign Corporations=357
F. Section 482:International IP Transactions Between Related Parties=358
G. Cost Sharing Arrangements=359
1. Two or More Participants=360
(a) Reasonably Anticipated Benefits Requirement=360
(b) Accounting Requirements=361
(c) Administrative Requirements=361
2. Method for Calculating Each Participant's Share of Intellectual Property Development Costs=361
(a) Share of Intellectual Property Development Costs=361
(b) Share of Reasonably Anticipated Benefits=362
3. Periodic Adjustments=362
4. Documentation Requirements=363
5. Buy-in and Buy-out Payments for Intellectual Property Transfers=363
Ⅳ. Materials=364
Excerpt from The Joint Committee on Taxation, Description and Analysis of Present-Law Rules Relating to International Taxation(JCX-40-99), June 28, 1999=364
Boulez v. Commissioner=367
Revenue Ruling 68-443=372
Revenue Ruling 72-232=373
Revenue Ruling 80-362=374
SDI Netherlands B.V. v. Commissioner=375
International Multifoods Corp. v. Commissioner=380
Revenue Ruling 64-206=386
DHL v. Commissioner=388
Field Service Advice 200011021=398
Seagate Technology, Inc. v. Commissioner=409
Chapter 10. Internet/E-Commerce Taxation=415
Ⅰ. Assignment for Chapter 10=415
Ⅱ. Problems for Chapter 10=415
Ⅲ. Overview=416
A. The Internet Nondiscrimination Act and The Internet Tax Freedom Act=417
1. No New Tax on Internet Service Access=417
2. No Multiple Taxes on Electronic Commerce Transactions=417
3. No Discriminatory Taxes on Electronic Commerce Transactions=418
B. State Taxation on Internet Sales=418
1. Substantial Nexus Standard-Offline Environment=419
2. Substantial Nexus-Internet Implications=419
3. States' Sales Taxes on Electronic Commerce Transactions=420
Ⅳ. Materials=421
Internet Tax Freedom Act, 47 U.S.C. §151=421
Quill v. North Dakota=425
NEW YORK ADVISORY OPINION, TSB-A-02(7)(S)=433
Wal-Mart Stores, Inc. v. City of Mobile=437
Andersen Consulting, LLP v. Comm'r of Revenue Services=439
NEW YORK ADVISORY OPINION, TSB-A-02(13)(S)=442
NEW YORK ADVISORY OPINION, TSB-A-02(3)(C)=444
NEW YORK ADVISORY OPINION, Pet. No. 5000510A=448
Charts of State Taxation of Online Transactions
Chart A. Sales of Goods & Information=452
Chart B. Pre-packaged and Custom Software=462
Table of Cases=471
Table of Statutes and Administrative Material=479
Index=489