Justia Tax Law Opinion Summaries

After the Nevada Tax Commission denied Petitioner Southern California Edison's claims for refunds of use taxes, Edison filed a complaint in the district court seeking relief. The district court ordered that the matter should proceed on the administrative record as a petition for judicial review pursuant to the state Administrative Procedures Act. Edison petitioned the Supreme Court for a writ of mandamus to order the lower court to treat Edison's complaint as an independent civil action. The Supreme Court concluded that a "petition for judicial review" is the proper vehicle for challenging the Tax Commission's decisions on claims for sales and use tax refunds. However, the Department of Taxation was "judicially estopped" from requesting that Edison proceed in such a manner in this case because it specifically told Edison that trial de novo would be available if Edison was unhappy with the Commission's decision. The Court granted Edison the writ of mandamus directing the district court to vacate its order, and remanded the case for further proceedings.