- The Maine Supreme Judicial Court delivered an opinion on sourcing service revenues in states with market-based sourcing rules.
- Express Scripts Inc. (ESI) sold pharmacy benefit management services throughout the US, including in Maine.
- ESI processed prescription drug claims in real-time through its computer system.
- ESI sourced its receipts from PBM services under two different sourcing rules for tax years 2011-2013.
- Maine audited ESI and denied a refund for the amended 2011 return.
- Maine’s corporate income tax apportionment rules provide specific sourcing rules for services.
- ESI argued for the market client basis, but the Court disagreed.
Source: aprio.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
