ALLIEDDOMECQSPIRITSANDv-Mass.Gov.docVIP

COMMONWEALTH OF MASSACHUSETTS APPELLATE TAX BOARD ALLIED DOMECQ SPIRITS AND ?v. COMMISSIONER OF REVENUE WINES USA, INC. Docket Nos.: C282807, C293684 Promulgated: C297779 May 22, 2013 These are appeals filed under the formal procedure pursuant to G.L. c. 58A, § 7 and G.L. c. 62C, § 39(c) from the refusal of the appellee, Commissioner of Revenue (“Commissioner”), to grant an abatement of corporate excise, interest and penalties assessed to the appellant, Allied Domecq Spirits and Wines USA, Inc. (“ADSWUSA” or the “appellant”) for the tax years ended August 31, 1996 through and including August 31, 2004 (“tax years at issue”). Commissioner Scharaffa heard these appeals and was joined by Chairman Hammond and Commissioners Rose, Mulhern and Chmielinski in a decision for the appellee in Docket No. C282807 and in decisions for the appellant in Docket Nos. C293684 and C297779. The findings of fact and report are made pursuant to requests by the appellant and the appellee under G.L. c. 58A, §?13 and 831 CMR 1.32. John S. Brown, Esq., George P. Mair, Esq., Donald-Bruce Abrams, Esq., Darcy A. Ryding, Esq., and Matthew D. Schnall, Esq. for the appellants. Andrew P. O’Meara, Esq., Mireille T. Eastman, Esq., Anne P. Hristov, Esq., and Derek W. Kelley, Esq. for the appellee. FINDINGS OF FACT AND REPORT On the basis of a Statement of Agreed Facts, a Stipulation and Agreement for Judgment and the testimony and exhibits offered into evidence at the hearing of these appeals, the Appellate Tax Board (“Board”) made the following findings of fact. At all times relevant to these appeals, Allied Domecq, PLC was an international conglomerate that was headquartered in Bristol, England and owned hundreds of subsidiaries worldwide. During the tax years at issue, Allied Domecq PLC had two main lines of business: (1) the retail division, which included the quick-serve restaurants Dunkin’ Donuts, Baskin Robbins and later Togos; and (2) the