866 P.2d 147 (Ariz.Tax 1993), TX 93-00536, Abrams Airborne Mfg., Inc. v. Arizona Dept. of Revenue

Docket Nº:TX 93-00536.
Citation:866 P.2d 147, 177 Ariz. 165
Party Name:ABRAMS AIRBORNE MANUFACTURING, INC. v. ARIZONA DEPARTMENT OF REVENUE; Pima County.
Case Date:December 09, 1993
Court:Tax Court of Arizona
 
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Page 147

866 P.2d 147 (Ariz.Tax 1993)

177 Ariz. 165

ABRAMS AIRBORNE MANUFACTURING, INC.

v.

ARIZONA DEPARTMENT OF REVENUE; Pima County.

No. TX 93-00536.

Tax Court of Arizona.

December 9, 1993

Munger and Munger, P.L.C. by John F. Munger, Phoenix, for plaintiff.

Attorney Gen. by Michael F. Kempner, Phoenix, for defendant.

Pima County Atty., Civ. Div. by Alison K. North, Tucson, for Pima County.

OPINION

SCHAFER, Judge.

The issue in this case is whether A.R.S. § 11-506 allows a refund when the taxpayer

Page 148

[177 Ariz. 166] erroneously classified its computer equipment and consequently paid a higher tax.

Taxpayer Abrams Airborne Manufacturing, Inc. (Abrams) brought this Special Action requesting that this Court order Pima County and the Arizona Department of Revenue (collectively "the Government") to refund an alleged overpayment by Abrams of its 1990, 1991 and 1992 personal property taxes. Abrams brings this Special Action under A.R.S. § 11-506. 1

Abrams alleges that for tax years 1990, 1991 and 1992, it filed business personal property statements for its secured personal property. It admits that it incorrectly listed part of its property, computer equipment, as "machinery and equipment" rather than "Computer Numeric Controlled (CNC) equipment." That error resulted in a higher tax. Now, Abrams wants its mistake classified as an "erroneous assessment" under section 11-506 and a refund of the taxes mistakenly paid.

This Court finds that section 11-506 does not provide a remedy for judgmental, non-clerical, non-computational errors by the Taxpayer. The Special Action is denied. 2

ANALYSIS

A.R.S. § 11-506 provides in pertinent part:

  1. If all or a part of a property tax has been paid on an erroneous assessment ... the county board of supervisors shall direct the county treasurer to grant a refund to the taxpayer, to the extent of the erroneous tax paid pursuant to such erroneous assessment....

  2. For purposes of this section, an erroneous assessment is limited to a clerical or computational error or any other error not involving the exercise of discretion, opinion or judgment by the assessor or the department. This section does not apply to questions of valuation that can be appealed according to § 42-221 or 42-604. An erroneous assessment does not include an assessment that is uniformly made according to department of revenue...

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