JOHNSTON, INC. v. Com., Dept. of Revenue

OPINION OF THE COURT

CAPPY, Justice.

The primary question with which we are presented in this matter is whether machinery, parts and supplies used in constructing a public utility facility, but not installed on the site of the facility, are exempted from the tax imposed via 72 P.S. § 7202(b) (commonly known as the “use tax”). We hold that such items are not exempted and therefore affirm the order of the Commonwealth Coürt.

The relevant facts have been stipulated by the parties pursuant to Pa.R.A.P. 1571(f). Glenn Johnston, Inc. (“Johnston”) is a Pennsylvania corporation engaged in business as a…