Justia Government & Administrative Law Opinion Summaries

At issue was whether Plaintiffs, a group of taxpayers in the Town of Portsmouth, were required to base their tax appeals on the fair market value of their properties as of December 31 in the year of the last update or revaluation.The value of Plaintiffs’ properties decreased in 2008 and 2009. The trial justice found that Plaintiffs could challenge the Portsmouth tax assessor’s (Defendant) tax assessments for tax years 2009 and 2010 using the fair market values of their properties as of December 31, 2008 and December 31, 2009, respectively, thus concluding that Plaintiffs were not confined to December 31, 2007 valuations. The Supreme Court affirmed, holding that Plaintiffs were authorized under chapter 5 of title 44 of the Rhode Island General Laws to challenge Defendant’s assessments for tax years 2009 and 2010 by employing the fair market values of their properties as of December 31, 2008 and December 31, 2009, respectively. View "Balmuth v. Dolce" on Justia Law

The order of the Tax Commissioner of the State of West Virginia penalizing Ashland Specialty Company, Inc. (Ashland) $159,398 for unlawfully selling 12,230 packs of cigarettes in West Virginia that were not approved for sale - a penalty equal to 500 percent of the cigarettes’ retail value - was not an abuse of discretion.The Office of Tax Appeals (OTA) ordered the Commissioner’s penalty reduced by twenty-five percent, finding the Commissioner’s original penalty to be erroneous, unlawful, void, or otherwise invalid. The circuit court reversed the order of the OTA and reinstated the Commissioner’s original penalty. The Supreme Court affirmed, holding (1) the circuit court did not simply substitute its own judgment for that of the OTA when it reinstated the Commissioner’s original penalty; (2) the Commissioner’s penalty was not an abuse of the discretion afforded him by W. Va. Code 16-9D-8(a) and need not be cancelled or reduced due to circumstances that allegedly mitigated their unlawful cigarette sales; and (3) the Commissioner’s penalty did not violate the Excessive Fines Clause of the West Virginia Constitution or the Eighth Amendment to the United States Constitution. View "Ashland Specialty Co., Inc. v. Steager, State Tax Commissioner of West Virginia" on Justia Law

Within the 2006 through 2010 tax years, the Oklahoma Tax Commission and the Oklahoma State Board of Equalization issued certified assessments of certain public property physically located within the boundaries of the Stroud school district. Ad valorem taxes associated with these properties were distributed by the Lincoln County Treasurer to the Cushing and Wellston districts, instead of to Stroud. The error was discovered and subsequently corrected by the Lincoln County Board of Tax Roll Corrections during the 2010-2011 fiscal year. There was no disagreement among the three school districts that they were not responsible for the errors made in the distribution of the ad valorem taxes. To recover the funds that should have been Stroud's, Stroud sued Cushing and Wellston school districts. Stroud filed its petition on April 22, 2013. The defendant school districts filed a motion for summary judgment in December of 2014. In the same month, the plaintiff responded with its own motion for summary judgment. Stroud received the taxes from the property identified as within its district; Cushing received the taxes from the property identified as within its district; and Wellston received the taxes from the property identified as within its district. The Oklahoma Supreme Court found Stroud received the same amount for its general funds that it would have received had the ad valorem taxes been properly allocated. Nevertheless, it demanded additional funds from Cushing and Wellston that it would have received if the real property had been correctly identified. The Court determined if that amount was paid to Stroud, then Cushing and Wellston would have deficits in those districts that they would not have if the real property had been correctly identified. Stroud did not believe the other two school districts are entitled to a setoff if they paid Stroud the misallocated ad valorem taxes. The Court found all three school districts were victims of this error, but no district failed to receive the funds needed for their respective districts. The Court reversed judgments against the Cushing and Wellston districts and that in favor of Stroud: "county and state officials will make mistakes in the taxing of property and the distribution of taxes." View "Independent Sch. Dist. No. 54 v. Independent Sch. Dist. No. 67" on Justia Law

The Supreme Court reversed the decision of the Board of Tax Appeals (BTA) affirming the tax commissioner’s order of two reductions that decreased Dana Corporation’s amortizable amount against the commercial-activity tax (CAT) to $4,728,051.At issue was the special credit against the CAT set forth at Ohio Rev. Code 5751.53. One factor in calculating the CAT credit was the net operating losses (NOLs) that were incurred by the corporation before the CAT. To take the credit, Dana Corporation was required to file report with the tax commissioner that calculated an amount that would be applied gradually over a period of up to twenty years (amortizable amount) against the CAT. Dana Corporation argued that its amortizable amount was $12,493,003. The tax commissioner ordered two reductions that ultimately decreased the amortizable amount to $4,728,051. On appeal, Dana argued that the second adjustment was not authorized by 5751.53(F). The BTA disagreed. The Supreme Court reversed, holding that the BTA erred in affirming the reduction of the amortizable amount based on cancellation-of-debt income offset of federal NOLs. View "Dana Corp. v. Testa" on Justia Law

The Supreme Court affirmed the decision of the Board of Tax Appeals (BTA) finding that the “casualty-loss exception” to the general rule prohibiting successive valuation complaints within the same triennium applied in this case.Appellees filed a new valuation complaint for tax year 2013 even though they had already filed a complaint challenging the 2012 valuation of their property. The Board of Revision (BOR) ordered no change in value for 2013. The BTA found that the casualty-loss exception applied because Appellees’ evidence of damage to the property was not “truly considered” in determining the property’s value for 2012 and that the tax-year-2013 complaint was permissible. The Supreme Court affirmed, holding that the BTA acted reasonably and lawfully in determining that the BOR had jurisdiction over Appellees’ tax-year-2013 complaint. View "Glyptis v. Cuyahoga County Board of Revision" on Justia Law

The Georgia Department of Revenue denied New Cingular Wireless PCS, LLC; Chattanooga MSA LP; Georgia RSA No. 3, LP; and Northeastern Georgia RSA Limited Partnership (collectively “AT&T”) a tax refund. The appellants alleged that from November 1, 2005 until September 7, 2010, they sold wireless Internet access services to Georgia customers, which were exempt from state sales tax under OCGA 48-8-2. In November 2010, the appellants filed refund claims with the Department for sales tax that they claimed was, until September 2010, erroneously charged to Georgia customers on the purchase of wireless Internet access service. The Department officially refused to pay the requested refund claims. On April 17, 2015, the appellants filed their complaint to challenge this denial. The Department answered and moved to dismiss for a lack of subject-matter jurisdiction and the failure to state a claim, because: (1) appellants did not reimburse the alleged illegally collected sales tax to customers before seeking a refund from the Department, in violation of Department Regulation 560-12-1-.25; (2) the appellants lacked standing to file sales-tax-refund claims on behalf of customers for periods prior to May 5, 2009; and (3) the action was barred by Georgia class-action law. Following a hearing on the motion to dismiss, the trial court granted it on all three grounds. The Court of Appeals affirmed. The Georgia Supreme Court granted certiorari review to determine whether Ga. Comp. R. & Regs. R. 560-12-1-.25 (2) properly required a dealer seeking a sales tax refund reimburse its customer before applying for a refund from the Department of Revenue. The Supreme Court determined this was not a requirement, and that the Court of Appeals’ opinion had to be vacated in part and reversed in part, and that the case remanded with direction. View "New Cingular Wireless PCS, LLC v. Georgia Dept. of Revenue" on Justia Law

Plaintiff 1901 First Street Owner, LLC (First Street), appealed a judgment which interpreted the meaning and application of Government Code section 65995 (b)(1), in a manner favorable to defendant Tustin Unified School District (the District). First Street developed an apartment complex. The underlying dispute arose after the City of Santa Ana (the City) had calculated the square footage of the development for purposes of assessing a school impact fee. The District disputed the City’s method of calculating the assessable space and filed an administrative appeal. Before that appeal was resolved, the City revised its calculation in the District’s favor, prompting First Street to file an administrative appeal. First Street prevailed in its administrative appeal and subsequently filed the present lawsuit against the District, alleging various tort causes of action and seeking declaratory relief and a writ of mandate ordering the District to refund the excess school fees. The court dismissed the tort claims pursuant to an anti-SLAPP motion, which the Court of Appeal affirmed in a separate appeal. The case proceeded on the declaratory relief claim and writ petition, as well as a cross-complaint by the District for an administrative writ of mandate. The court found in favor of the District, and First Street appealed. At issue was whether the square footage of interior space outside the individual apartment units should have been included in the calculation of school impact fees. Finding no reversible error, the Court of Appeal affirmed the judgment in favor of the District. View "1901 First Street Owner v. Tustin Unified School District" on Justia Law

The Supreme Court reversed the circuit court’s order granting Defendants’ motion to dismiss Plaintiff’s refund action pursuant to Ark. R. Civ. P. 12(b)(8) based on the doctrine of res judicata, holding that res judicata did not bar Plaintiff’s suit.After receiving the Faulkner County Assessor’s valuation of its personal property, Plaintiff challenged the assessments. The Faulkner County Board of Equalization upheld the assessments, as did the Faulkner County Court. The circuit court dismissed Plaintiff’s valuation appeal for lack of subject matter jurisdiction. During the discovery process in the valuation appeal, Plaintiff learned of errors regarding the issues in the first complaint. Plaintiff then filed a claim in the Faulkner County Court for a refund of its 2012 ad valorem taxes under Ark. Code Ann. 26-35-901 based on an erroneous assessment of its personal property and on the taxation of its exempt intangible property. The county court dismissed the refund action under Ark. R. Civ. P. 12(b)(8) because the earlier case involved the same parties and arose out of the same occurrence. Plaintiff appealed. The circuit court dismissed the refund action, finding that the refund claims were precluded by res judicata. The Supreme Court reversed, holding that because the valuation appeal was dismissed for lack of subject-matter jurisdiction, there was no valid judgment in that case by a court with proper jurisdiction, and all of the required elements of claim preclusion were not satisfied. View "Desoto Gathering Co. v. Hill" on Justia Law

The Supreme Court reversed the circuit court’s order granting Defendants’ motion to dismiss Plaintiff’s refund action pursuant to Ark. R. Civ. P. 12(b)(8) based on the doctrine of res judicata, holding that res judicata did not bar Plaintiff’s suit.After receiving the Faulkner County Assessor’s valuation of its personal property, Plaintiff challenged the assessments. The Faulkner County Board of Equalization upheld the assessments, as did the Faulkner County Court. The circuit court dismissed Plaintiff’s valuation appeal for lack of subject matter jurisdiction. During the discovery process in the valuation appeal, Plaintiff learned of errors regarding the issues in the first complaint. Plaintiff then filed a claim in the Faulkner County Court for a refund of its 2012 ad valorem taxes under Ark. Code Ann. 26-35-901 based on an erroneous assessment of its personal property and on the taxation of its exempt intangible property. The county court dismissed the refund action under Ark. R. Civ. P. 12(b)(8) because the earlier case involved the same parties and arose out of the same occurrence. Plaintiff appealed. The circuit court dismissed the refund action, finding that the refund claims were precluded by res judicata. The Supreme Court reversed, holding that because the valuation appeal was dismissed for lack of subject-matter jurisdiction, there was no valid judgment in that case by a court with proper jurisdiction, and all of the required elements of claim preclusion were not satisfied. View "Desoto Gathering Co. v. Hill" on Justia Law

Pursuant to Mississippi Code Section 27-35-119 (Rev. 2017), Natchez Hospital Company, LLC, (“Hospital”) filed a Complaint and Petition For Reduction of Assessment on Software. This ad valorem assessment was made by the Adams County Board of Supervisors (“Board”). Prior to appealing to the circuit court, the Hospital paid the ad valorem taxes as assessed. The Board filed a motion to dismiss for lack of jurisdiction, arguing that the Hospital had failed to post the necessary appeal bond required by Mississippi Code Section 11-51-77 (Rev. 2012), thus depriving the circuit court of jurisdiction. Following a hearing on the motion, the circuit court determined that the Hospital’s failure to post the bond under Section 11-51-77 deprived the court of jurisdiction to hear the appeal and granted the Board’s motion to dismiss. The Hospital appealed the circuit court’s decision to dismiss the case, asking only whether the bond requirement of Mississippi Code Section 11-51-77 was mandatory to confer jurisdiction on a circuit court to hear an appeal from a decision of a board of supervisors regarding an assessment of taxes. The Mississippi Supreme Court determined the Hospital paid the tax, but that was no excuse for not posting the bond to give the trial court jurisdiction to hear its complaint. Therefore, the Supreme Court affirmed dismissal of the Hospital’s case. View "Natchez Hospital Company, LLC v. Adams County Board of Supervisors" on Justia Law