Sears, Roebuck & Co. v. State Tax Commission

The Appellate Tax Board (board) has upheld the imposition of use taxes on advertising supplements inserted into Massachusetts newspapers and distributed with them. The taxpayers operate retail stores in Massachusetts; they arranged for the printing of the supplements by printers outside Massachusetts and for the shipment of the supplements to the newspapers. We hold that the advertising supplements were parts of “newspapers,” not subject to sales or use taxes under G. L. c. 64H, § 6 {m), and c. 641, § 7 (6). We therefore reverse the decision of the board.

The parties to the case of Raymond’s,…