South Carolina Judges Grill Tractor Supply, State in Tax Case

Tractor Supply Co. and the South Carolina Department of Revenue attorneys fielded insightful questions from two state appeals court judges at oral arguments Tuesday in a dispute over a $1.4 million corporate income tax assessment.

The company is asking the court to overturn a 2023 administrative ruling that the state revenue department properly required the farm retailer and its affiliates to use combined unitary reporting to remedy unreliable transfer pricing between it and two subsidiaries. Transfer pricing refers to how companies assign prices to transactions among related entities, and it can be used to artificially shift income from a higher ...