International Home Foods, Inc. v. Department of Treasury

We are asked in these cases to determine the applicability of this Court’s decision in The Gillette Co v Dep’t of Treasury,1 to tax years before the release of that decision in which there was a Revenue Administrative Bulletin (RAB) in place that was favorable to the taxpayer. We hold that defendant may not retroactively apply a court decision favorable to defendant to a tax year before the release of that decision if defendant had in place an interpretive ruling favorable to the taxpayer’s position. We reverse and remand.

Flaintiffs are businesses based outside Michigan whose sole presence in…