State v. Birmingham Rail & Locomotive Co.

GOODWYN, Justice.

This is an appeal by the state from a final decree of the Circuit Court of Montgomery County, in Equity, vacating and setting-aside a sales tax assessment made by the State Department of Revenue against the appellee, Birmingham Rail and Locomotive Company, herein referred to as the “Company.”

The question involved is whether certain rails sold by the company to Alabama mine operators and used by them in underground coal mines as track for tram cars are subject to the Alabama Sales Tax Act. The assessment covers the period from July 1, 1944, through June 30, 1949. The company…