In re Appeal of Novartis Vaccines & Diagnostics, Inc. According to the taxpayer’s contract with the U.S. Department of Health and Human Services, and according to federal regulations, the federal government owned 40 percent of the contract property at the end of the tax year; therefore, the taxpayer was entitled to an exemption from county property tax as to 40 percent of the contract property.
In re Appeal of NC Yadkin House, LLC Although legal title to the apartment complex in question resides with the appellant N.C. limited liability company, “ownership” of the complex may be imputed to the parent corporation, an organization recognized by the IRS as nonprofit.
United States v. Tourtellot Where the bankruptcy debtor included its costs under the Fair and Equitable Tobacco Reform Act of 2004 (FETRA) in the price it charged consumers for its cigars, the FETRA assessment must be included in the price of the cigars for purposes of determining the excise tax on the cigars.
Delhaize America, Inc. v. Lay The state Department of Revenue did not violate plaintiff’s procedural due process rights by forcing a combination of plaintiff and its subsidiary’s earnings, pursuant to G.S. § 105-130.6.
In re Appeal of IBM Credit Corp. Even if we were to remand this case (for a third time), the Property Tax Commission would be well within its authority to find, yet again, that the taxpayer’s evidence is not “reliable” or “credible.” Even if the Commission rejects the taxpayer’s evidence, the taxpayer still wins because the county did not meet its burden of proof.
U.S. v. Jinwright A couple who served as co-pastors of a North Carolina church are convicted of tax evasion for omitting millions of dollars of taxable income from their jointly filed tax returns; the 4th Circuit rejects the taxpayers’ claims that they did not “knowingly” underreport their income.
Starnes v. Comm’r of Internal Revenue Four former owners of a trucking business who sold their stake to a company that in turn sold it to another buyer, without following through on an agreement to pay taxes the former owners owed on the sale proceeds, do not have to pay the back taxes to the IRS; the 4th Circuit upholds a Tax Court decision that the IRS could not collect from the former owners because, under the controlling state law, a creditor of the buyer company could not recover on the buyer’s company debts.
In re Appeal of David H. Murdock Research Institute Even though the respondent-county filed a motion to dismiss while the petitioner-nonprofit filed materials in support of its late application for a tax exemption, the Property Tax Commission was not required to hold separate hearings.
Ocean Pines Ass’n Inc. v. Comm’r of Internal Revenue A tax-exempt subdivision association must pay taxes on net income from two parking lots and a beach club that benefit the private interests of association members rather than the general public; the 4th Circuit affirms the Tax Court judgment, as the income is not “substantially related” to the association purpose of promoting social welfare, but is taxable as “unrelated business taxable income.”
Technocom Business Systems Inc. v. North Carolina Department of Revenue A taxpayer in the business of selling and leasing office equipment collected sales taxes on its optional maintenance agreements. An audit by the Department of Revenue determined that the taxpayer should have been paying use taxes instead of sales taxes. G.S. § 105-164.41 entitles the taxpayer to a credit for the sales taxes it paid to the Department against the assessment of use taxes that the taxpayer should have paid.