Court: Conn. owes $1M to Sikorsky in tax breaks

July 15, 2010

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HARTFORD, Conn.—Connecticut's Supreme Court says the state owes almost $1 million to Sikorsky Aircraft for denying the helicopter maker a tax exemption it deserved.

Thursday's unanimous ruling says the Stratford-based subsidiary of United Technologies Corp. qualified for $916,600 in tax breaks on certain purchases from 1995 to 2002.

State officials argued the Connecticut law that refunds sales taxes to companies for aircraft manufacturing didn't apply. It said Sikorsky's purchases were for research and development, not manufacturing helicopters.

The Supreme Court justices concluded that research and development was an integral part of Sikorsky's manufacturing, so the items should be covered by the law.

Sikorsky spokesman Paul Jackson said the company is thankful the long-running matter has been resolved. A message seeking comment was left for the state Attorney General's Office.