Washington Tax Decisions

A Washington company that engages in stevedoring and associated activities exclusively in the state of Washington disputes the Department’s denial of its refund request to apportion its gross income under the stevedoring business and occupation (B&O) tax classification to states other than Washington. The petition is denied.

A [retail] store franchisor (Taxpayer) protests (1) the assessment of service and other activities business and occupation (B&O) tax on grounds that it was assessed the tax on income related to real property leases, and (2) the assessment of delinquent penalty for failure to file a reconciliation return on grounds that Taxpayer exercised due diligence. We deny the petition.

A limited liability company formed to acquire and lease an aircraft contests the assessment of use tax on the purchase price of the aircraft and a reseller permit misuse penalty. We grant the petition.