International Business Machines Corp. v. United States

OPINION

MILLER, Judge.

This ease is before the court after argument and supplemental briefing on plaintiffs motion for partial summary judgment. International Business Machines Corporation (“IBM” or “plaintiff’) sues for the refund of income tax paid for tax years 1982-84. Plaintiff takes the position that it is entitled to a foreign tax credit for its payment of an Italian tax on income produced in Italy. The issue to be decided is whether the Italian tax was a compulsory payment with the predominant character of an income tax or in lieu of an income tax, thus entitling plaintiff to a foreign…