Pennsylvania BFR Partially Grants Investment Firm’s Sales, Use Tax Refund Petition

The Pennsylvania Board of Finance and Revenue (BFR) partially granted taxpayer’s sales and use tax refunds for the period Jan. 13, 2022, to Jan. 13, 2025. Taxpayer, a private investment firm argued that it paid sales tax and remitted use tax on several exempt transactions, including out-of-state transactions, software, materials shipped out of state, buyside connection fees, nontaxable purchases and services, and construction activities. BFR found that the petitioner was entitled to a refund for certain out-of-state transactions where evidence demonstrated the transactions occurred outside of Pennsylvania or that software was used 100 percent out of state, as well as ...