Calhoun Publishing Co. v. State

INGRAM, Judge.

The Department of Revenue of the State of Alabama (State) assessed retail sales tax against the taxpayer for the printing and delivery of newspapers to Sara Grant & Associates (Grant). After a hearing, the trial court upheld the assessment but waived a penalty assessed against the taxpayer for its failure to pay the tax, concluding that the taxpayer’s failure was in good faith. The taxpayer appeals.

The issue is whether the transactions between the taxpayer and Grant were taxable retail sales.

The record shows that Grant, not a party to this action, sought and obtained a licensing…