Oregon - Telecommunication company’s gain from sale of assets is apportionable business income

March 2013

Overview

In Crystal Communications, Inc. v. Department of Revenue, decided on March 7, 2013, the Oregon Supreme Court held that gain realized from the sale of a telecommunication company’s assets was apportionable business income [Crystal Communications, Inc. v. Department of Revenue, Ore. Supreme Ct., TC 4769; SC S059271, 3/7/13]. Based upon essentially the same facts, the Court affirmed this holding in CenturyTel, Inc. v. Department of Revenue, decided the same day [CenturyTel, Inc. v. Department of Revenue, Ore. Supreme Ct., TC 4826; SC S059502, 3/7/13]. While involving provisions specific to telecommunication taxpayers, these decisions may provide support for other Oregon taxpayers that revenue from the sale of assets in liquidation qualifies as business income.

Contact us

Peter Michalowski
National SALT Practice Leader
Tel: +1 (646) 471 5259
Email

Follow us