Pennsylvania BFR Orders Reassessment of Taxpayer’s 2021 Corporate Net Income Tax

The Pennsylvania Board of Finance and Revenue (BFR) ordered the reassessment of the taxpayer’s 2021 corporate net income tax account and adjusted its sales factor denominator and apportionment factor. The taxpayer had filed a petition challenging the Department’s adjustment to its sales factor denominator, which increased its tax liability. The dispute centered around the Department’s reduction of the taxpayer’s “other sales” amount in calculating the sales factor denominator. After reviewing the evidence and documentation provided by the taxpayer, including a reconciliation to its federal tax return, the BFR found that the taxpayer had sufficiently demonstrated that the Department’s reduction of ...