An attorney for Apple declined comment.
During the time period, Apple sold iPhones at a discount if the consumer signed a long-term contract with Verizon Wireless, AT&T Mobility and Sprint, and then taxed the consumer on the discounted price. For example, a $649 iPhone typically sold for $199 with a two-year contract with a wireless carrier, the court said.
The tax question has come up in various states. In Maine, the state contended the iPhones should have been taxed at the full cost since Apple had agreements to recoup the cost difference with the wireless carriers.
“The price reductions, the carriers’ payments, and the length of the wireless contracts were all directly related,” Justice Andrew Horton wrote.
Apple owes more than $500,000 in sales taxes in Maine, court says
Apple sold iPhones at a discount if the consumer signed a long-term contract with Verizon Wireless, AT&T Mobility or Sprint.
By DAVID SHARPAssociated Press
Share
Apple should have paid state taxes on the full price of iPhones sold at discounted prices through wireless carriers over a three-year period at its stores in Maine, the state supreme court ruled.
The Maine Supreme Judicial Court unanimously overturned a judge’s decision that sided with Apple after the state tax assessor argued that taxes were underpaid by tens of thousands of dollars.
Maine Judge Rules Apple Underpaid State Taxes for Three Years nbcdfw.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from nbcdfw.com Daily Mail and Mail on Sunday newspapers.
Maine Judge Rules Apple Underpaid State Taxes for Three Years nbcwashington.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from nbcwashington.com Daily Mail and Mail on Sunday newspapers.
Maine Judge Rules Apple Underpaid State Taxes for Three Years nbcphiladelphia.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from nbcphiladelphia.com Daily Mail and Mail on Sunday newspapers.