American Telephone & Telegraph Co. v. State Tax Assessor

GLASSMAN, Justice.

The State Tax Assessor appeals from the judgment entered in the Superior Court (Kennebec County, Alexander, J.), inter alia, vacating the assessment and penalties ordered by the Assessor on the cost of acquisition of telecommunications equipment by AT & T and AT & T Credit Corporation (referred to collectively as “the Taxpayers”). We agree with the Assessor that the cost of telecommunications equipment acquired by the Taxpayers that is subsequently leased to the Taxpayers’ customers is subject to a use tax, and accordingly, we vacate the judgment.

The Taxpayers acquire…