DEPT. OF REVENUE v. UNITED PARCEL SERVICE

No. 49S10-1107-TA-417.

969 N.E.2d 596 (2012)

INDIANA DEPARTMENT OF REVENUE, Petitioner (Respondent below), v. UNITED PARCEL SERVICE, INC., Respondent (Petitioner below).

Supreme Court of Indiana.

June 21, 2012.


Attorney(s) appearing for the Case

Gregory F. Zoeller , Attorney General of Indiana, Andrew W. Swain , Chief Counsel, Jessica E. Reagan , Deputy Attorney General, Indianapolis, IN, Attorneys for Appellant.

Richard D. Birns , Birns & Goff, Philadelphia, PA, Jeffrey S. Dible , Frost Brown Todd LLC, Indianapolis, IN, Attorneys for Appellee.


RUCKER, Justice.

In this case we examine whether income received by a corporation's affiliated foreign reinsurance companies falls within the ambit of Indiana's gross premium privilege tax statute and is on that basis exempt from Indiana adjusted gross income tax.

Background

Typically, insurance premiums paid by a corporation are deductible from federal corporate gross income as ordinary and necessary business expenses. See Clinton N. McGrath...

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