NIHC, Inc. v. Comptroller of the Treasury

McDonald, j.

Once upon a time, before the advent of the shot clock, some basketball teams employed a maneuver known as the “four corners offense.” This strategy involved a series of passes among team members that seemingly did not advance the ultimate purpose of putting the ball in the hoop, but had the separate purpose of depriving the opposing team of possession of the ball. In a somewhat analogous enterprise, corporate tax consultants devised a strategy that involved a series of transactions passing licensing rights between related corporations and that was motivated by a desire, not to…