ADT Security Services, Inc. v. Johnson

OPINION

in which ALAN E. HIGHERS, P.J., W.S., and HOLLY M. KIRBY, J., joined.

The trial court ruled that taxpayer ADT Security Services was liable for sales and use tax on equipment it installed as part of its security monitoring service contracts. The trial court also ruled that taxpayer was entitled to offset its liability for sales and use taxes, under the doctrine of equitable recoupment, by taxes taxpayer had charged and remitted on the installation of the equipment. We affirm the trial court’s judgment with respect to taxpayer’s liability for sales and use taxes, and reverse with respect…