Glider Truck Maker Fitzgerald Wages Court Battle Over IRS’ $64 Million Excise Tax Bill

Jul 25, 2019 at 09:16 AM CST
A federal judge has ruled that Fitzgerald Truck Parts and Sales can proceed with its lawsuit disputing an IRS claim that the glider truck maker owes more than $64 million in back tractor-trailer federal excise taxes, penalties and interest. In a memorandum order July 15, Chief U.S. District Judge Waverly Crenshaw Jr., of the Middle District of Tennessee, rejected a request by the federal government to dismiss Fitzgerald’s lawsuit. In its lawsuit filed in February, Fitzgerald charged that the IRS in 2015 changed its two decadeslong position that Fitzgerald was not required to pay a 12% federal excise tax on sales of refurbished gliders because the company qualified for a “safe harbor” exemption provision, since the refurbished trucks sell for less than 75% of the cost of new trucks.

Jul 25, 2019 at 09:16 AM CST

A federal judge has ruled that Fitzgerald Truck Parts and Sales can proceed with its lawsuit disputing an IRS claim that the glider truck maker owes more than $64 million in back tractor-trailer federal excise taxes, penalties and interest. In a memorandum order July 15, Chief U.S. District Judge Waverly Crenshaw Jr., of the Middle District of Tennessee, rejected a request by the federal government to dismiss Fitzgerald’s lawsuit. In its lawsuit filed in February, Fitzgerald charged that the IRS in 2015 changed its two decadeslong position that Fitzgerald was not required to pay a 12% federal excise tax on sales of refurbished gliders because the company qualified for a “safe harbor” exemption provision, since the refurbished trucks sell for less than 75% of the cost of new trucks.