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REVENUE CABINET v. KENTUCKY-AMERICAN WATER

No. 98-SC-165-DG.

997 S.W.2d 2 (1999)

REVENUE CABINET, Commonwealth of Kentucky, Appellant, v. KENTUCKY-AMERICAN WATER COMPANY, Appellee.

Supreme Court of Kentucky.

As Modified August 26, 1999.

Attorney(s) appearing for the Case

Cathy Cravens Snell, Division of Legal Services, Revenue Cabinet, Frankfort, KY, for appellant.

Douglas P. Romaine, Melissa A. Stewart, Roger W. Madden, Stoll Keenon & Park, LLP, Lexington, KY, for appellee.

WINTERSHEIMER, Justice.

This appeal is from a decision of the Court of Appeals which affirmed the judgment of the circuit court holding that the 1,197 miles long new water distribution system from a water treatment plant to private consumers was part of an integrated plant manufacturing process entitling the water company to a sales and use tax exemption.

The primary issue is whether the water distribution system...

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