Pepsico, Inc. v. Department of Revenue

In an administrative review action, plaintiff appealed from an order of the Illinois Independent Tax Tribunal that affirmed the decision of the Illinois Department of Revenue. The department had found that for two tax years, the income of a subsidiary of plaintiff was improperly excluded from plaintiff’s “unitary business group” under the Illinois Income Tax Act. Based on this finding, the department calculated taxes and interest, issued notices of deficiency, and assessed late penalties. The appellate court affirmed, finding that the tribunal’s order was not against the manifest weight of the evidence. (REYES and D.B. WALKER, concurring)