Pabst Family Trusts Owe California $3.5 Million Income Tax (1)

Trusts controlled by members of the family that sold the Pabst beer company for $607 million owe $3.5 million in California income tax on proceeds of the sale, a state appeals court said Friday.

The nonresident trust shareholders are taxed on their pass-through share of gain from the sale of Pabst, a unitary, multistate S corporation, the three-judge panel of the California Court of Appeal decided. The panel affirmed a 2021 trial court ruling, which was also consistent with a 2019 ruling from the California Office of Tax Appeals. ...