Internatl. Paper Co. v. Testa (Slip Opinion)

{¶ 1} This case presents an issue concerning the credit available under the commercial-activity tax (“CAT”), which permits taxpayers to realize some benefit from net operating losses (“NOLs”) now that Ohio’s corporate-franchise tax has been replaced by the CAT. As we explained in Navistar, Inc. v. Testa, 143 Ohio St.3d 460, 2015-Ohio-3283, 39 N.E.3d 509, the NOLs were potential deductions under the income measure of the former corporate-franchise tax and they were carried on the corporate books as tax-deferral assets. Id. at ¶ 10. When 2005 legislation phased out the corporate-franchise tax…