Michigan Companies Improperly Calculated Gain for Tax Purposes

The Michigan Court of Appeals sided with the state revenue department Thursday in two disputes over how to calculate the gain on the sale of assets bought while one tax regime was in effect but sold under either of the two subsequent laws that took its place.

“Here, plaintiff’s strongest argument is that the way it is being taxed is fundamentally unfair. But ultimately, our review of the relevant statutes and caselaw indicates that the plain language” of the three statutes and the federal tax code support the state’s position, Judge Michelle M. Rick wrote for the unanimous court in ...