STATE EX REL. OKLA. TAX COM'N v. SUN CO.

No. 103,776.

222 P.3d 1046 (2009)

2009 OK 11

STATE of Oklahoma, ex rel. OKLAHOMA TAX COMMISSION, Plaintiff/Appellant, v. SUN COMPANY, INC. (R & M), a corporation, Defendant/Appellee.

Supreme Court of Oklahoma.

Rehearing Denied January 11, 2010.


Attorney(s) appearing for the Case

Robert K. Pezold and Joseph C. Woltz of Pezold, Barker & Woltz, Tulsa, OK, for Plaintiff/Appellant.

Larry D. Patton, Assistant General Counsel, Oklahoma Tax Commission, Oklahoma City, OK, for Plaintiff/Appellant.

James M. Chaney and Matthew L. Standard of Kirk & Chaney, Oklahoma City, OK, for Defendant/Appellee.


REIF, J.

¶ 1 This case concerns the liability of Sunoco for gross production taxes on oil that was marketed under "barrel-back" arrangements between the producers and Sunoco. The Oklahoma Tax Commission contends that Sunoco is liable for additional taxes (1) on "barrel-back" purchases by Sunoco from 1984 and after, and (2) on an amount that Sunoco paid to settle a class action suit by royalty-owners over "barrel-back" transactions1

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