California High Court Won’t Hear $3.5 Million Transfer Tax Case

An appeals court decision that found two limited liability companies owned by a state agency owe $3.53 million in California documentary transfer taxes will not be reviewed by the state’s highest court.

“The petition for review is denied,” the California Supreme Court said in a docket entry on Wednesday.

The California State Teachers’ Retirement System is exempt from the tax but two LLCs it created are not, the appeals court had found in May.

The California Court of Appeal, First Appellate District said then that its holding “comports with the Legislature’s concern that cities and counties not lose tax revenue ...