The Kroger Co. v. the Dept. of Revenue

PRESIDING JUSTICE HARTMAN

delivered the opinion of the court:

The Illinois Department of Revenue (Department) appeals from the circuit court’s ruling in an administrative review action brought by The Kroger Company (Kroger). The Department’s administrative decision determined that gains realized by Kroger in the sale of its leasehold interests in realty, which Kroger had claimed as "nonbusiness income,” were "business income” and, therefore, taxable.

On administrative review, the circuit court reversed the Department’s decision, finding that the Department incorrectly applied the statutory…