Oklahoma Tax Commission v. City Vending of Muskogee, Inc.

Appellant, City Vending of Muskogee, Inc. (City Vending), was an Oklahoma based wholesaler of cigarettes licensed by appellee, the Oklahoma Tax Commission (OTC).1 Wholesalers are required to purchase and affix tax stamps to cigarettes2 with certain exceptions.3 On May 31, 1985, after auditing City Vending, OTC mailed a proposed tax assessment to it for distribution and sale of unstamped cigarettes. OTC also sought to cancel and/or revoke City Vending’s wholesale license for its failure to affix cigarette tax stamps.4 City Vending protested the assessment and defended against revocation of its…