Frank J. Klein & Sons, Inc. v. Comptroller of the Treasury

This case presents the narrow question whether under the Maryland sales and use tax law, the tax is properly collectible upon “cash discounts” granted to the taxpayer by its suppliers for payment of the purchase price of various articles of personal property within a stated period of time.

The appellant is engaged in business as a contractor supplying and installing heating and plumbing equipment in newly constructed residential and commercial buildings within the State of Maryland. Under Code (1957), Art. 81, sec. 324 (f) (3) the appellant is the taxpayer. It is clear that title to the items…