Valley Ice & Fuel Co., Inc. v. United States

E. GRADY JOLLY, Circuit Judge:

Valley Ice & Fuel Company (“Valley”), a Brownsville, Texas retañer of fuel oü, filed three refund claims for excise taxes paid on fuel oil that it sold to Mexican nationals in the last three quarters of 1988. The Mexican nationals owned and operated vessels that entered American waters to purchase fuel oü from Valley and then returned to Mexican waters. The Internal Revenue Service (“IRS”) refunded the second quarter amount, but refused to refund the third and fourth quarter amounts. The IRS then demanded repayment of the second quarter amount and assessed a…