COMMONWEALTH v. HANOVER SHOE FARMS

Taxation — Selective Sales and Use Tax — Stud fees — Selective Sales and Use Tax Act.

In this case it was Held that the appellant, a breeder of racing horses, was liable, under the Selective Sales and Use Tax Act of 1956, P. L. (1955) 1228, as amended, for a sales tax on (1) the stud fees received and (2) the sales of tangible personal property occurring in Pennsylvania (supplies used and consumed by the appellant in the operation of the business) on which the tax was not paid to the vendor at the time of purchase.

Mr. Chief Justice BELL and Mr. Justice MUSMANNO dissented.

Mr. Justice BENJAMIN R. JONES took no part in the consideration or decision of this case.

OPINION PER CURIAM, June 28, 1962:

The appellant is engaged in the business of breeding, raising and selling "standard bred" harness racing horses, and the providing of breeding or stud services to others for a consideration.

The case involves appellant's liability under the Pennsylvania "Selective Sales and Use Tax Act" of March 6, 1956, P. L. (1955) 1228, as amended, 72 P. S. § 3403.1 et seq., for a sales tax on: (1) the "stud fees" received; (2) the sales of tangible personal property occurring in Pennsylvania (supplies used and consumed by the appellant in the operation of the business) on which the tax was not paid to the vendor at the time of purchase.

The lower court correctly decided the issues involved, and faultlessly and effectively answered every pertinent question raised by the appellant in this appeal.

Judgment affirmed.

Mr. Chief Justice BELL and Mr. Justice MUSMANNO dissent.

Mr. Justice BENJAMIN R. JONES took no part in the consideration or decision of this case.