- Emory University, B.A. 1979
- University of Wisconsin School of Law, J.D., 1982
- New York University School of Law, LL.M. (Taxation), 1984
- Listed, Chambers USA: America's Leading Lawyers for Business (2006, 2007, 2008, 2009, 2010, 2011, 2012)
- Listed, The Legal 500 U.S. – Tax Controversy (2007, 2008, 2009, 2010, 2011)
- Outstanding Attorney Award – U.S. Department of Justice, Tax Division (1990)
- Member, J. Edgar Murdock American Inns of Court (U.S. Tax Court) (1994-1996)
- District of Columbia
- New York
- U.S. Supreme Court
- U.S. Court of Appeals for the Fourth, Seventh, Eighth and Federal Circuits
- U.S. Tax Court
- U.S. Court of Federal Claims
- U.S. District Court for the Eastern District of Pennsylvania
- U.S. District Court for the District of Columbia
- U.S. District Court for the District of Connecticut
- U.S. Court of International Trade
300 Conshohocken State Road
West Conshohocken, PA 19428
Phil Karter specializes in tax controversy and tax litigation matters. In a career spanning more than 28 years, Phil has litigated Federal tax cases in the United States District Courts, the United States Tax Court and the United States Court of Federal Claims, and argued in the United States Court of Appeals in multiple circuits. His range of trial experience, which includes dozens of jury and non-jury cases tried to judgment, encompasses a wide variety of complex and high-profile matters involving Federal income, estate and gift, and excise tax issues. Representative examples have included matters involving hostile takeover expenses, contingent liability and other tax reduction transactions, greenmail payments, transition rule tax credits, foreign tax credits, worthless stock, § 162(m) qualified performance-based compensation, interest recomputations and netting, disguised sales, rehabilitation credits, disparate treatment, timber depletion, coal excise taxes, debt-equity swaps and other financial product issues. Phil has handled countless other tax controversy matters for clients ranging from Fortune 500 companies to small businesses and individuals that were resolved with the IRS at the administrative appeals or examination level. Further, as an entrepreneur and owner of an Internet-based investment software company, Phil has closely studied the developing issues associated with the taxation of cloud computing.
Over the course of his career, Phil has also worked on numerous other civil litigation matters involving a wide variety of non-tax disputes in areas such as contract, tort, bankruptcy, antitrust, civil fraud and international trade.
Prior to joining Chamberlain Hrdlicka in 2007, Phil was a partner at Miller & Chevalier and formerly served as a trial attorney with the U.S. Department of Justice Tax Division, where he was honored with the Department's Outstanding Attorney Award. Phil is one of a select number of attorneys recognized as a national authority in tax litigation in Chambers USA and the US Legal 500 Litigation and Tax Guides. He is also ranked as a 10 out of 10 by the Avvo lawyer ranking system.
Phil has spoken on a variety of tax issues before the American Bar Association's Section of Taxation, the Tax Executives Institute, the Federal Bar Association, the New York University School of Law, the Georgetown University Law Center, the Palm Beach Tax Institute, and various state bar and professional associations.
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- Gateway Hotel Partners, LLC et al. v. Commissioner, Docket No. 19182-07 (U.S.T.C. filed May 17, 2010). Lead trial counsel for participating partner defending proposed adjustment to partnership income from alleged sale by partnership of state historic tax credits distributed to other partner. (Case tried to Court October 2012)
- Frontier Oil Corporation v. Commissioner, Docket No. 21151-10 (U.S.T.C. filed Sep. 23, 2010). Lead trial counsel for taxpayer claiming § 162(m)(4)(C) exception to limitation on deductability of qualified performance-based compensation. (Case settled)
- WFC Holdings Corp. v. United States, Docket No. 07-CV-3320 (D.Minn. filed Jul. 13, 2007). Lead trial counsel for taxpayer claiming $423 million capital loss from the sale of stock in a contingent liability lease management subsidiary. (Currently on appeal to 8th Circuit; Docket No. 11-3616, 8th Cir., filed 2011)
- Browning Ferris Industries, Inc. & Subsidiaries v. United States, 75 Fed.Cl. 591 (2007) - Court granted motion to dismiss without prejudice in case of first impression involving question of whether tax refund claim filed by company that had previously liquidated for tax purposes was jurisdictionally defective. (Case settled on remand from Fed. Cir.)
- Black & Decker Corp. v. United States,340 F. Supp. 2d 621 (D. Md. 2004), aff'd in part, rev'd in part and remanded, 436 F.3d 431 (4th Cir. 2006) - Trial counsel for taxpayer claiming $560 million capital loss from the sale of stock in a contingent liability health care subsidiary. (Case settled on remand from 4th Cir.)
- Kohler Co. v. United States, 468 F.3d 1032 (7th Cir. 2006), aff'g. 387 F. Supp. 2d 921 (E.D. Wis. 2005) - Obtained Seventh Circuit decision affirming summary judgment in favor of taxpayer's claim that participation in Mexican debt-equity swap did not produce short-term capital gain.
- Black & Decker Corp. v. United States, 219 F.R.D. 87, 92 A.F.T.R.2d 2003-6426, 2003-2 USTC 50,659 (D. Md., September 15, 2003) - Obtained ruling upholding taxpayer's claim of work product protection over documents prepared by accountant after taxpayer indicated its intention at IRS audit to rely on specific advice offered by accountant in an opinion letter previously disclosed to IRS.
- Black & Decker Corp. v. United States, 93 A.F.T.R.2d 2004-989, 2004-1 USTC 50,175, (D. Md., February 19, 2004) - Obtained court ruling affirming taxpayer's right to retain normally redacted information in Field Service advice that was inadvertently disclosed by government. The ruling rejected government's defense that information was protected by disclosure exceptions to Freedom of Information Act.
- VF Corp. v. Commissioner, No. 7584-02 (U.S. Tax Court, filed Apr. 19, 2002) - Obtained full IRS concession in Tax Court case involving the question of whether $59 million cost of providing retail display to retail customers is currently deductible or must be capitalized.
- Kimberly-Clark Corp. v. United States, No. 02-0985 (E.D. Wis., filed Oct. 4, 2002) - Filed suit for taxpayer seeking credits against its United States federal corporate income tax liability for foreign taxes deemed paid by certain foreign subsidiaries. (Case settled)
- Kimberly-Clark Tissue Co. v. United States, 38 F. Supp. 2d 1028 (E.D. Wis. 1999) - Won summary judgment on issue involving taxpayer's entitlement to an investment tax credit under the "world headquarters" transitional rule of the 1986 Tax Reform Act.
- Emhart Corp. v. United States, No. 98-1823 (D. Md., filed June 9, 1998) - Obtained favorable settlement for taxpayer seeking to deduct the costs associated with the defense against a hostile takeover attempt.
- Emhart Corp. v. Commissioner, 75 T.C.M. 2231 (1998) - Won taxpayer's claim to a worthless stock deduction for losses attributed to the disposition of a foreign subsidiary.
- Kimberly-Clark Tissue Co. v. United States, No. 97-0134 (E.D. Wis., filed Feb. 12, 1997) - Obtained favorable settlement before trial for taxpayer seeking to amortize a $100 million greenmail payment over the term of the standstill agreement provided by a hostile shareholder in exchange for the greenmail payment.
- VF Corp. v. Commissioner, No. 23340-95 (U.S. Tax Court, filed Nov. 9, 1995) - Obtained full IRS concession in Tax Court case involving the question of whether taxpayer could accrue and deduct costs for cooperative advertising with its retailers before claims were submitted and payments were made.
Media MentionsPlease click here for Philip Karter's media mentions
- Chamberlain Hrdlicka Garners Top Rankings in Chambers USAPractice Areas and Attorneys Win High Marks in Tax and Immigration CategoriesJune 2012
- Chamberlain Hrdlicka Ranked Nationally in 2011 Chambers USAJune 2011
- Chambers USA Once Again Ranks Chamberlain Hrdlicka Among Top Ten National Firms in Tax LitigationJune 2010
- Philadelphia Office Profiled in Philadelphia InquirerJune 2010
- Legal 500 Again Names Chamberlain Hrdlicka as Preeminent in Tax ControversyJune 2010
- Chambers USA 2009 Rankings Again Place Chamberlain Hrdlicka Among Top Ten National Firms in Tax LitigationJune 2009
Articles & Publications
- "IRS Access to Computerized Records of Corporate Taxpayers," 87 Journal of Taxation (September 1997).
- " U.S. Officials’ Latest Proposals to Curb ‘Abusive Tax Shelters’ Could Affect Legitimate Cross-Border Transactions," Journal of International Tax Planning (March 2000).
- Co-author of "Transfer Pricing for Services,"Transfer Pricing Methods - An Applications Guide," John Wiley & Sons (2004).
- “The Role of Economic Substance In Tax Shelter Controversies,” 19 The Corporate Counselor 8 (January 2005).
- The Opera Isn't Over Yet on FICA Tax Refunds Until the Supreme Court Sings, Taxblawg.net (April 3, 2013)
- Sixth Circuit Moves The Ball Forward For Companies Seeking FICA Tax Refunds On Supplemental Unemployment Compensation Benefit Payments, Taxblawg.net (January 8, 2013)
- Could The New Economic Substance Statute Apply To End-Of_Year Stock Sales And Repurchases? Taxblawg.net (December 28, 2012)
- IRS Records Retention Requirements In The Age of Metadata, Taxblawg.net (December 16, 2011)
- Musings in the Aftermath of the First Schedule UTP Filing Season, Taxblawg.net (December 8, 2011)
- Tax Court May Be The Forum of Choice for Taxpayers Seeking to Challenge Treasury Regulations, Taxblawg.net (June 23, 2011)
- The Reporting Requirement for Deferred Tax Assets Under Schedule UTP: IRS Instructions Muddy the Waters; Taxblawg.net (November 23, 2010)
- The Tax Workpapers Conundrum - Will "Justice" Kagan Accept What Solicitor General Kagan Opposed? Taxblawg.net (July 1, 2010)
- Venerable "Kovel Rule" May Be Under New Attack; Taxblawg.net (May 10, 2010)
- Trust But Verify - Proposed Schedule UTP And The Implications To Attorney Work Product; Taxblawg.net (April 20, 2010)
- Son of BOSS Case Highlights Ongoing Dispute Over Application Of The Valuation Misstatement Penalty; Taxblawg.net (March 12, 2010)
- The Subliminal Message Underlying Announcement 2010-09; Taxblawg.net (March 11, 2010)
Seminars & Presentations
- Hot Topics in Federal, State, and Local TaxationMay 30, 2012
- Chicago Tax ClubEconomic Substance And International Tax Law Following CodificationApril 11, 2011
- Tax Executives Institute - If You Knew Then What You Know NowA Litigator's Guide to Tax Planning and ControversyMay 21, 2009
- American Bar Association
- Pennsylvania Bar Association
- Philadelphia Bar Association