Indiana Department of State Revenue v. Caterpillar, Inc.

RUSH, Chief Justice.

Indiana’s tax statutes expressly authorize corporate taxpayers to deduct some foreign source dividend income when calculating Indiana adjusted gross income. But Caterpillar attempted to use that same deduction to increase its Indiana net operating losses available for carryover to other tax years. We hold that the plain meaning of the Indiana tax statutes disallows Caterpillar’s use of the foreign source dividend deduction outside of its legisla tively authorized context. We also hold that Caterpillar has not met its burden to show that disallowing the deduction…