Dewitt v. Magma Copper Company

HATHAWAY, Judge.

Magma Copper Company, appellee, brought suit in the Superior Court of Pinal County in October 1969, to obtain a refund from the State of Arizona of income taxes in the amount of $159,836 with interest. The defendant, Arizona Tax Commission, moved for summary judgment on the basis that federal income taxes are deductible in determining the net income limitation on the depletion allowance for purposes of the Arizona Income Tax Act. Magma’s position was that the tax commission had consistently followed the procedure of not deducting federal income taxes in computing the net…