STATE v. KERSHAW MFG. CO., INC.

Civ. 1901.

372 So.2d 1325 (1979)

STATE of Alabama v. KERSHAW MANUFACTURING COMPANY, INC.

Court of Civil Appeals of Alabama.

July 11, 1979.


Attorney(s) appearing for the Case

Charles A. Graddick, Atty. Gen. of Alabama, Herbert I. Burson, Jr., Chief Counsel, Dept. of Revenue and Asst. Atty. Gen. of Ala., and John J. Breckenridge, Asst. Counsel, Dept. of Revenue and Asst. Atty. Gen. of Ala., for appellant.

John N. Wrinkle, Robert C. Walthall, Wm. Michael Warren, Jr., Birmingham, for appellee.


HOLMES, Judge.

This is a tax case.

The Alabama State Department of Revenue assessed sales and use taxes against the taxpayer. The taxpayer appealed to the Circuit Court of Montgomery County which set aside the assessment. The Department appeals.

The dispositive issue on appeal is whether the trial court properly determined that the use of parts and materials in manufacturing prototype machines which are sold or held for sale by the manufacturer is...

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