Kinnear Stores Company v. State of Illinois — 6 Ill. Ct. Cl. 341

KINNEAR STORES COMPANY, Claimant, v. STATE OF ILLINOIS, Respondent.

Case summary

Claimant sought recovery of franchise taxes allegedly wrongfully collected by the Secretary of State. The court initially recommended disallowance, but after rehearing and a modified opinion, it found an over-assessment of capital stock and awarded $800.00.

Claim type: Tax Refund

AI-generated summary from the opinion text — may contain errors. The opinion text and PDF above are the official record.

Headnotes

FRANCHISE TAX-failure to pursue legal remedies-voluntary payment. REHEARING-when rehearing will be granted. Where a sufficient reason FRANCHISE TAX-when award for tax erroneously assessed and paid

Rehearing granted June 26, 1929. FRANCHISE TAX-failure to pursue legal remedies-voluntary payment. Where franchise tax is voluntarily paid before the date when payment is due, and claimant fails to follow legal remedies in courts of general jurisdiction the claim will be disallowed. REHEARING-when rehearing will be granted. Where a sufficient reason has been advanced by claimant a rehearing will be granted. FRANCHISE TAX-when award for tax erroneously assessed and paid will be made. Where it appears from the evidence that an error was made in the assessment of corporation franchise tax upon issued capital stock an award will be made for such erroneous assessment and payment. BROWN, HAY & STEPHENS, for claimant. OSCAR E. CARLSTROM, Attorney General; DAVID J. KADYK, Assistant Attorney General, for respondent.

MR. CHIEF JUSTICE CLARITY delivered the opinion of the court:

This is a claim brought to recover for franchise taxes alleged to be wrongfully collected by the Secretary of State on or about June, 1927.

As it has been held by this court a claimant of this kind should follow the legal remedy in courts of general jurisdiction, the Attorney General comes and presents his objection together with the fact that the payment complained of was made voluntarily before the date when payment was due.

Therefore it is recommended by this court that claim be disallowed.

On June 26, 1929, upon petition for rehearing the following additional opinion was filed: This court is of the opinion that sufficient reason has been advanced by claimant for rehearing to grant a rehearing.

It is therefore considered by the court that a rehearing be granted.

On November 7, 1929, the following modified opinion was filed: [*342] It appears by statement of the Attorney General and admitted by the Secretary of State that an error had been made relative to assessment of certain capital stock made by the office of the Secretary of State upon the issued capital stock of claimant. It is admitted that there is an error over-assessing the capital stock in the sum of Eight Hundred ($800.00) Dollars.

It is therefore considered by the court that claimant be awarded the sum of Eight Hundred ($800.00) Dollars.