Exempt or Not Exempt? That is the question in the landmark United States v. Quality Stores, Inc. case which will decide once and for all if certain severance payments made to employees whose employment is involuntarily terminated are taxable under the Federal Insurance Contributions Act (FICA).
On January 14, 2014, the Supreme Court of the United States heard oral arguments in the Quality Stores case. While the case will not be decided until June 2014 at the latest, many legal experts are sharing their reaction to the opening arguments.
A recent blog post by Alan Horowitz, the head of the Supreme Court and Appellate Litigation Group at Miller & Chevalier, offers his thoughts on the oral arguments from the IRS and Quality Stores.
Another blog post by Bradley Joondeph, the Inez Mabie Distinguished Professor and Associate Dean for Academic Affairs at the Santa Clara University School of Law, posted on the SCOTUSblog his thoughts on the oral arguments from the case as well.
This information should not be relied upon as legal advice.