Ward Europa, Inc. v. Comptroller of the Treasury

BLOOM, Judge.

Ward Europa, Incorporated, a Maryland corporation, and Ward Overseas, Incorporated, a Delaware corporation, appeal from the judgment of the Circuit Court for Baltimore County affirming an order of the Maryland Tax Court upholding income tax deficiency assessments. Both appellants are wholly owned subsidiaries of The Ward Machinery Company, a Maryland corporation in the business of manufacturing and selling machinery and equipment.

For the tax years at issue, each appellant was qualified as a domestic international sales corporation, commonly referred to as a DISC. DISCs were…