Justia Tax Law Opinion Summaries

The issue before the Supreme Court in this appeal was whether a taxpayer could satisfy its obligation to "pay annually to the state" the $75,000 corporate minimum tax under ORS 3 317.090(2), by claiming on its corporate excise tax return a $75,000 "Business Energy Tax Credit" (BETC) under ORS 315.354. The Tax Court concluded that the taxpayer, Con-Way, could satisfy its tax liability under ORS 317.090(2) by claiming a BETC on its return. The Department of Revenue (department) appealed, arguing that the Tax Court's conclusion was inconsistent with ORS 317.090(2), on the ground that a tax credit cannot be used to pay or otherwise satisfy the minimum tax imposed under ORS 2 317.090(2). Upon review, the Supreme Court affirmed. View "Con-Way Inc. & Affiliates v. Dept. of Rev." on Justia Law

The primary question in this case was whether the Oregon Department of Revenue properly classified income resulting from the sale of Crystal Communication's assets as "business income." Crystal operated as a multistate business providing wireless cellular telecommunications services and, in the relevant tax years, sold its assets related to those services. It reported the gain from the asset sale as "nonbusiness income" and allocated that gain to Florida, its state of commercial domicile. On audit, the department reclassified the gain as apportionable "business income." Crystal challenged the reclassification, and the Tax Court granted summary judgment in favor of the department and entered judgment accordingly. Crystal appealed to this court. Finding no error in the classification, the Supreme Court affirmed. View "Crystal Communications, Inc. v. Dept. of Revenue" on Justia Law

CenturyTel operated as a multistate, unitary business that, until 2002, provided both wireless and wireline telecommunications services. In 2002, CenturyTel sold its assets related to its wireless services but continued to provide wireline services. As in "Crystal Communications, Inc. v. Dep't of Revenue," (___ P3d ___ (decided March 7, 2013), CenturyTel reported the gain from the sale of its wireless assets as "nonbusiness income" and allocated that gain to its state of commercial domicile. On audit, the Department of Revenue reclassified the gain as apportionable "business income." CenturyTel challenged the department's reclassification, and the Tax Court, relying on its decision in "Crystal," granted summary judgment in favor of the department. CenturyTel appealed. Consistent with its decision in "Crystal," the Supreme Court affirmed the Tax Court's decision. View "CenturyTel, Inc. v. Dept. of Revenue" on Justia Law

Ann Sacks Tile and Stone, Inc.; Canac Kitchen US Limited; and Koehler Rental Power, Inc. appealed a general tax judgment against them directly to the Supreme Court. The Department of Revenue responded with a motion to determine jurisdiction, asking the Court to determine whether a defect in the manner in which the companies had served their notice of appeal on the department deprived the Supreme Court of authority to decide the appeal. The companies asserted that the defects did not deprive the court of jurisdiction. Upon review, the Supreme Court concluded it indeed lacked jurisdiction over the case, and accordingly dismissed the appeal. View "Ann Sacks Tile and Stone, Inc. v. Dept. of Rev." on Justia Law

This tax case arose on direct review of a Tax Court decision that awarded attorneys' fees to the taxpayer, Village at Main Street Phase II, LLC after its successful challenge to the Clackamas County Assessor's property tax assessment on improvements to its property. The Tax Court issued an order and supplemental judgment naming the county as the judgment debtor, but requiring the Department of Revenue to pay the attorney fees. Both the County and the Department appealed that decision. Upon review, the Supreme Court found that the Tax Court erred in its interpretation of Oregon case law in awarding attorneys' fees to the Village and reversed the supplemental judgment. View "Clackamas Cty Assessor v. Village at Main Street" on Justia Law