Commonwealth v. Westinghouse Electric Corp.

OPINION

LARSEN, Justice.

When appellant, a Pennsylvania corporation, filed its consolidated Federal corporate income tax return for calendar year 1969, it elected to claim the taxes which it paid to foreign governments as a credit against its Federal tax liability rather than as a deduction from its gross income.1 *167Since the Pennsylvania Corporate Net Income Tax Act of May 16, 1935, P.L. 208, § 1 et seq. as amended, 72 P.S. 3420a et seq. (herein referred to as “the ‘act’ ”)2 provided that a corporation’s taxable income (for the purposes of calculating state tax liability) consisted of those…