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Mass. Seeks Gallery Back Taxes

20 Feb, 2008 By: Erik Gruenwedel

The state of Massachusetts wants $140,000 in past due sales taxes plus interest from Movie Gallery Inc. and it's going to court to get it. The commissioner from Mass. Department of Revenue filed a motion with U.S. Bankruptcy Court in Richmond, Va., formally objecting to the Dothan, Ala.-based rental company's proposed plan of reorganization.

The state contends the plan does not account for interest owed on the taxes.

The court will hold a confirmation hearing on Gallery's plan of reorganization April 9.

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