Washington DOR Issues Interim Guidance Statement on Excise Tax Decision Regarding Single Factor Receipts Apportionment

The Washington Department of Revenue (DOR) Dec. 20 issued an interim guidance statement regarding the Thurston County Superior Court’s excise tax order in AT&T Services, Inc. v. Department of Revenue. The order invalidated portions of the business and occupation tax regulations on single factor receipts apportionment for periods before June 12, 2014. The statement provides: 1) effective June 12, 2014, the legislature amended the apportionable income statute to explicitly allow for proportional attribution; 2) AT&T Services challenged the rule on the grounds that it exceeded the DOR’s authority for periods before the amendment; 3) the court found the rule invalid ...