Indiana Department of State Revenue v. Hardware Wholesalers, Inc.

SHEPARD, Chief Justice.

This challenge to an assessment of intangibles tax presents a single question: are. fund transactions under repurchase agreements Indiana bank “deposits” exempt from the Indiana intangibles tax? We hold that they are not.

A. Facts and Procedural History

The Indiana Department of State Revenue assessed intangibles tax 1 against Hardware Wholesalers, Inc. (“HWI”) after audits of the tax years 1983,1984 and 1985. HWI filed a timely protest and paid $67,391 in taxes assessed for repurchase agreements between HWI and Fort Wayne National Bank. The Department denied HWI’s claims…