Alaska Justices Grill Sleep Clinic Over Corporate Income Tax

Two Alaska Supreme Court justices expressed skepticism Tuesday toward a sleep clinic’s claim that it’s exempt from corporate income tax because the clinic isn’t in the field of health.

The justices pressed Alyeska International Inc. for claiming it provides treatment and diagnostic services while still asserting that it doesn’t work in the field of health.

Alyeska is eligible for the exemption from the state’s corporate tax because it has limited interactions with patients seeking sleep studies, Colleen Knix of Manley Brautigam Bankston PC said on behalf of the clinic.

Knix compared Alyeska to a pharmacy—which isn’t considered to be in ...