Tuesday, November 25, 2008
Ind. Decisions - Tax Court issues one
In U-Haul Co. of Indiana, Inc. v. Indiana Dept. of State Revenue, a 14-page opinion, Judge Fisher writes:
Evidence of the routine practice of an organization is relevant to prove that the conduct of the organization on a particular occasion was in conformity with the routine practice. See Ind. Evidence Rule 406. See also, e.g., Morphew v. State, 672 N.E.2d 461, 463-64 (Ind. Ct. App. 1996) (finding that the Indiana Bureau of Motor Vehicles’ evidence of its routine business practices could have led a jury to reasonably conclude that it timely mailed notice of a suspension of driving privileges to a defendant), trans. denied. The Court therefore finds and concludes that the Department’s designated evidence leads to the reasonable inference that it timely mailed the 1999 proposed assessment. Accordingly, the issue as to whether the 1999 proposed assessment was timely mailed to U-Haul Indiana is reserved for trial. * * *
[As to] Whether the Department’s retroactive imposition of gross income tax, based on its admitted change in interpretation of that tax, was proper [the Court concluded that] this theory does not support the Department’s change in position and retroactive imposition of gross income tax. Accordingly, U-Haul Indiana’s motion for summary judgment as to this issue is GRANTED.
For the above stated reasons, the Court DENIES U-Haul Indiana’s motion for summary judgment as to Issue I. As a result, the issue of whether the Department timely mailed the 1999 proposed assessment is reserved for trial. The Court, however, GRANTS U-Haul Indiana’s motion for summary judgment as to Issue II. The Department’s cross-motion for summary judgment is therefore DENIED. The Court shall set a case management conference to discuss the remaining matters for trial by separate order.
Posted by Marcia Oddi on November 25, 2008 02:21 PM
Posted to Ind. Tax Ct. Decisions