Washington Justices Appear Divided on Insurance Exemption Case

A pharmacy benefit management service company got mixed reactions from the Washington Supreme Court Thursday to its argument it can claim the state’s business tax exemption for insurance companies.

The state revenue department is appealing an appeals court opinion that held that Centene Corp. subsidiary Envolve Pharmacy Solutions Inc. was entitled to a $73,263 refund for taxes it paid from 2012 to 2013. The court held its services fall under the business and occupation tax exemption for “insurance business upon which a tax based on gross premiums is paid to the state.”

Justice Sheryl Gordon McCloud challenged Washington Assistant Attorney ...