McFreeze Corp. v. Department of Revenue

— The McCollums owned 50 percent of the stock in a corporation whose sole asset was a $400,000 piece of realty. After purchasing the other 50 percent of stock, the McCollums attempted to pay excise tax on $200,000, the proportionate value of the realty corresponding to their purchase of 50 percent of the stock. A state statute requires the purchaser of a “controlling interest” in a corporation owning real estate to pay excise tax on “the true and fair value of the real property owned by the [corporation.]” RCW 82.45.030(2). Another statute defines “controlling interest” as “either fifty…