Nebraska Defends Taxation of Berkshire Unit’s Foreign Income

A Berkshire Hathaway Inc. unit isn’t entitled to deduct repatriated foreign income, the Nebraska Department of Revenue told a state appeals court.

In October, Precision Castparts Corp. appealed a July trial court opinion upholding the agency’s decision to deny the company’s request to deduct income generated since 1986 by its foreign subsidiaries on its amended 2017 tax return. The company also asked the state’s highest court to allow the case to leapfrog the intermediate court. The petition is still pending.

The department told the Nebraska Court of Appeals in its response brief filed Dec. 13 that the state’s deduction for ...