City of Tempe v. Prudential Insurance Co. of America

■ HOLOHAN, Justice.

The Prudential Insurance Company of America (Prudential) brought an action against the State Tax Commission and The City of Tempe for the return of transaction privilege taxes paid by Prudential pursuant to A.R.S. § 42-1301 et seq. and Tempe City Code § 33-11 et seq. Prudential claimed that it was not required to pay the taxes by reason of A.R.S. § 20-226. After cross-motions for summary judgment, the Maricopa County Superior Court ruled that Prudential was required to pay the state tax, but that A.R.S. § 20-226, subsec. B had preempted Tempe from levying a transaction…