American Airlines, Inc. v. State Board of Equalization

This is an appeal from a judgment adjudging that plaintiff is not entitled to a refund of use taxes paid to the state in the amount of $181,385.61.

The taxes involved are for a five-year period from July 1, 1952, to June 30, 1957, and were assessed by respondent under the California Sales and Use Tax' Law and paid under protest by appellant.

The facts were stipulated in a lengthy written stipulation submitted to the trial court. Generally the facts as stipulated were as follows: Appellant, (sometimes hereinafter referred to as “American” or as the “company”) a Delaware corporation, is a certified air carrier and operated a major air transportation system carrying persons, property and mail throughout various parts of the United States and several foreign countries. The company is subject to regulations issued by the Civil Aeronautics Board and the Civil Aeronautics Authority in accordance with the law. The company’s system is divided into four territorial regions for operational administration purposes. The western region covers stations in Arizona and California. The maintenance base for the entire system is at Tulsa, Oklahoma. At this base the company receives and tests all…