WASHINGTON (CN) – The U.S. Supreme Court ruled that the Railroad Revitalization and Regulatory Reform Act lets railroads challenge state methods for evaluating property if the railroad believes it is being taxed on an unfair assessment.
CSX Transportation anchored its lawsuit against the Georgia State Board of Equalization in the 1976 Act, claiming Georgia “grossly overestimated” the market value of CSX’s in-state rail property in order to reap higher property taxes.
The district court and the 11th Circuit said the Act does not allow railroads to challenge assessment methods that are “not motivated by discriminatory intent.”
The justices reversed, concluding that it does let railroad owners try to show that the state’s methods are discriminatory. See ruling.