Feroleto Steel Co. v. Oughton

Petitioner, Feroleto Steel Company, did business in cutting large steel coils into smaller widths as specified by Petitioner's customers. The tax commissioner denied Petitioner an exemption from ad valorem property taxation, finding that the cutting of the steel coils to an individual customer's specifications results in a product of different utility. On appeal, the circuit court granted summary judgment to Respondents, the state tax commissioner, county assessor, and county commission. The Supreme Court reversed, holding (1) Petitioner's cutting of steel coils into narrower steel coils, as determined by the specifications of Petitioner's customers, does not result in a product of different utility for the purpose of the ad valorem property tax exemption; and (2) therefore, Petitioner's inventory of steel coils was exempt from ad valorem taxation. View "Feroleto Steel Co. v. Oughton" on Justia Law