Phillips Petroleum Co. v. Utah State Tax Commission

CALLISTER, Justice.

Plaintiff, who engages in the production of oil, gas and other hydrocarbon substances from wells within the state of Utah, seeks a review of the Utah State Tax Commission’s determination of the mining occupation tax1 due for the years 1959 and 1960.

The facts are stipulated and not in dispute. In 1959 the legislature amended the mining occupation tax, as it related to oil and gas, increasing the tax from 1% to 2%.2 Section 3 of this amendment 3 reads as follows:

“Effective Date — This act shall take effect January 1, 1960, and the tax payable for the privilege of operating in…