UPS Oasis Supply Corp. v. Director, Division of Taxation

KUSKIN, J.T.C.

Plaintiff, UPS Oasis Supply Corporation, seeks a refund of sales or use tax1 in the sum of $276,128 paid by it in 1999 pursuant to *322the New Jersey Sales and Use Tax Act, N.J.S.A 54:32B-1 to -29, in connection with a purchase of computer equipment. Plaintiff asserts two bases for its refund claim:

1. the purchase of the equipment was for purposes of resale, and, therefore, no tax was due; and

2. even if the purchase was taxable, the purchaser was a sister corporation, and plaintiff is not liable for the tax obligation of that corporation.

For the reasons set forth below, I deny the…