Court Opinion

ID: 9560222
Source: CourtListenerOpinion
Date Created: 2023-08-21 17:45:30.485387+00
Date Added: 2024-06-11T09:12:26.859612
License: Public Domain

BAKES, Justice,
concurring specially:
In this case, Consolidated appealed to the district court from an adverse decision of the tax commission regarding its sales-use tax liability for the tariff schedules more particularly described in the majority opinion. On such an appeal, the statute, I.C. § 63-3812, requires the appeal to be heard de novo in the district court. After the initial pleadings were filed, both parties moved for summary judgment in the district court. This Court has held that where both parties move for summary judgment on the same legal issue, and where no jury has been requested, the district court may resolve conflicting inferences from the record and evidence submitted in support *658of the motion for summary judgment and may render a decision. Riverside Development Co. v. Ritchie, 103 Idaho 515, 650 P.2d 657 (1982); Old West Realty v. Idaho State Tax Comm’n, 110 Idaho 546, 716 P.2d 1318 (1986); Kromrei v. AID Insurance Co., 110 Idaho 549, 716 P.2d 1321 (1986); Jones v. E.G. & G. Idaho, Inc., 109 Idaho 400, 707 P.2d 511 (1985).
All of the affidavits in support of the motion for summary judgment were submitted by Consolidated, with none submitted by the state. Nevertheless the same rule applies. The trial court reviewed the entire record and, in a memorandum opinion, made several findings of fact and conclusions of law. The conclusions of law were based upon the sales and use tax regulation 9,l.b.i, which essentially established that the proper test in determining whether a transaction involving both the sale of tangible personal property and a personal service is subject to tax depends upon whether or not the personal service is a consequential or inconsequential element of the transaction. If the service rendered is inconsequential, then the entire transaction is taxable. If the service is consequential and the tangible personal property is inconsequential, then the entire transaction is exempt. If both elements are consequential, then it is mixed, and the tax should be prorated.
Based upon those conclusions of law, the trial court made certain findings in its memorandum decision in which it found that “the services involved are inconsequential to the object of the transaction ...,” which object the court found to be the “transfer of tangible personal property.” Based upon those findings, the trial court entered judgment for the tax commission.
As previously stated in K Mart Corp. v. Idaho State Tax Comm’n, 111 Idaho 719, 723, 727 P.2d 1147, 1151 (1986), “[If] there are sufficient facts from which inferences could be made which support the trial court’s decision ... summary judgment should not be disturbed on appeal.”
Based upon the entire record before the district court the factual inferences drawn by the district court are sustainable by the record and, accordingly, the judgment of the district court regarding the tax should be sustained on appeal.