California Officials Appeal Southwest’s $10.7 Million Tax Refund

Southwest Jet Fuel Co. shouldn’t get a $10.7 million refund for taxes collected on its jet fuel sales because the amount California’s tax agency collected complied with a voter approval initiative for new local taxes, city and county officials told a state appeals court.

Ontario, Calif., and the San Bernardino County Transportation Authority asked the California Court of Appeal, Fifth District, on Sept. 20 to reverse SJF’s trial court victory because the ruling allegedly misapplies Proposition 62, a 1986 initiative that prohibits local governments from imposing new general taxes without voter approval. SJF convinced the trial court in December that ...