Buckeye Power, Inc. v. United States

OPINION

MILLER, Judge.

This case is before the court after argument on the parties’ cross-motions for partial summary judgment. Buckeye Power, Inc. (“Buckeye” or “plaintiff’), a rural electric cooperative, sues for the refund of income tax paid for tax years 1982, 1984, and 1987. Plaintiff takes the position that 85% or more of its income was derived from amounts collected from members for the sole purpose of meeting losses and expenses, thus warranting tax-exempt treatment pursuant to 26 U.S.C. (“I.R.C.”) § 501(a), (c)(12) (1994).

FACTS

The parties agreed to a comprehensive stipulation of facts,…