MUSEUM OF FLIGHT FOUNDATION v. U.S.

No. C98-0029C.

63 F.Supp.2d 1257 (1999)

MUSEUM OF FLIGHT FOUNDATION, Plaintiff, v. UNITED STATES of America, Defendant.

United States District Court, W.D. Washington, at Seattle.

February 10, 1999.


Attorney(s) appearing for the Case

Clark Reed Nichols, Perkins Coie, Seattle, WA, for plaintiff.

Diane E. Tebelius, U.S. Attorney's Office, Seattle, WA, Deirdre A. Donnelly, U.S. Dept. of Justice, Tax Div., Washington, DC, for defendant.


ORDER

COUGHENOUR, Chief Judge.

This a tax case involving the Museum of Flight's lease of the first 747 back to Boeing to serve as a test-bed for new highthrust engines in the 777 project. The parties have stipulated to the factual record. The only issue in this case is whether the ordinarily tax-exempt Museum is liable for taxes on the lease income as "unrelated business taxable income" under 511(a)(1) of the Internal Revenue Code. The parties presented...

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