Massachusetts ATB Grants Partial Abatement, Upholds Sales Tax Assessment for Auto-Body Repair Business

The Massachusetts Appellate Tax Board granted the taxpayer, an autobody shop, an abatement of the double assessment imposed under G.L. c. 62C, § 28, but upheld the underlying sales tax assessment for applicable tax periods. The Board found that the taxpayer’s repair transactions were fully taxable because the cost of auto parts exceeded 10 percent of the total charges and was not separately stated on customer invoices, rendering the entire transaction subject to sales tax under state regulations. However, the Board concluded that the business’s $0 sales tax filings were not false or fraudulent and were not filed with a ...