Big D Enterprises, Inc. v. Oklahoma Tax Commission

OPINION

ADAMS, Judge:

The single issue presented in this appeal is whether the Oklahoma Tax Commission properly determined that a note issued by Big D Enterprises, Inc. and payable to Merchants National Bank of Fort Smith, Arkansas should be classified as capital for franchise tax purposes under 68 O.S.1991 § 1209(a). We affirm because the Commission’s order is supported by substantial evidence and is not contrary to law.

Facts

Big D, an Arkansas corporation, issued the note for $1,900,000.00 on February 2, 1988. Big D was to make thirty-five monthly payments of $17,409.80, and the entire…