Foss NIRSystems, Inc. v. Comptroller of the Treasury

JAMES R. EYLER, Judge.

The Comptroller of the Treasury, appellee, assessed a use tax on certain equipment owned by Foss NIRSystems, Inc., appellant. Appellant appealed to the Maryland Tax Court, which affirmed the assessment. Appellant filed a petition for judicial review in the Circuit Court for Montgomery County, which affirmed the tax court.

The statutory provision at issue is Md.Code (1997 Repl. Vol.), Tax-General, section 11—101(i )(3)(ii), which provides that “use” does not include the exercise of a right or power over tangible personal property if the buyer intends to resell the property…