Obtained summary judgment in district court granting 100% of taxpayer’s sales and use tax refund claim by defeating State’s Plea to the Jurisdiction based on limitations. The Court overruled the Texas Comptroller’s policy of applying a separate statute of limitations to refund claims for sales and use tax remitted under a direct payment permit. El Paso Merchant Energy-Petroleum Company v. Susan Combs et al., Cause No. D-1-GN-06-003071.
Successfully resolved major air carrier’s $23 million sales and use tax refund claim after district court litigation. The case involved the issue of whether purchases of real property improvements and tangible personal property by non-exempt entity were exempt because they were for the use of an exempt entity. Continental Airline, Inc. v. Glenn Hegar et al., Cause No. D-1-GN-10-001751; United Airlines, Inc. v. Glenn Hegar et al., Cause Nos. D-1-GN-12-003602 & D-1-GN-17-005507.
Successfully resolved well service company’s $2.5 million sales and use tax refund claim after district court litigation. The case involved the issue of whether well service equipment constituted motor vehicles exempt from the sales and use tax. FTS International Services, LLC v. Glenn Hegar et al., Cause No. D-1-GN-16-004741.
Successfully resolved sales tax assessment against web hosting company after district court litigation. The case involved the issue of whether the web hosting company’s purchases of software qualified for the sale for resale exemption. Softlayer Technologies, Inc. v. Susan Combs et al., Cause No. D-1-GN-13-000673.
Successfully resolved sales tax assessment against IVR services company after district court litigation. The case involved the issue of whether IVR services constituted taxable data processing services. Enacomm Inc. v. Glenn Hegar et al., Cause No. D-1-GN-20-001910.
Successfully resolved sales tax assessment against flowback services company after district court litigation. The case involved the issue of whether flowback services constitute taxable equipment rentals. Virtex Operating Company, Inc. v. Glenn Hegar et al., Cause No. D-1-GN-20-007182.
Successfully resolved franchise tax assessment against steelmaking company after district court litigation. The case involved the issue of whether the cost of goods sold deduction included the cost of medical and pension benefits for retired production workers. AK Steel Holding Corporation v. Glenn Hegar et al., Cause No. D-l-GN-14-000024.
Successfully resolved international chemical company’s $3 million franchise tax refund claim after district court litigation. The case involved the issue of whether a parent corporation can write off the decline in value of a subsidiary for purposes of calculating the parent’s taxable capital. Millennium Inorganic Chemicals, Inc. v. Susan Combs et al., Cause No. D-1-GN-06-000655.
Obtained final judgement in district court granting 100% of taxpayer’s franchise tax refund claim. The case involved the issue of whether profits from the sale of interest in spun-off affiliate was “nonunitary” income that was not subject to the franchise tax. Pfizer Inc. v. Carole Keeton Strayhorn et al., Cause No. GN-001781.
Obtained final Comptroller’s Decision after contested hearing before the State Office of Administrative Hearings ruling that leases of chemical tanks attached to chassis constituted motor vehicle leases exempt from sales and use tax. The Comptroller’s Decision dismissed the assessment. This was a significant decision clarifying the Comptroller’s rules and policies regarding application of the sales tax to leases of equipment attached to motor vehicles. TCPA Hearing No. 118,044 (2023).
Obtained final Comptroller’s Decision after contested hearing before the State Office of Administrative Hearings ruling that industrial gas plant equipment remained tangible personal property and purchases of repair parts and labor qualified for the manufacturing exemption. The Comptroller’s Decision dismissed the assessment. This was a significant decision because the equipment was very large, e.g., 20,000 lb. chillers, 50,000 lb. boilers, and a main compressor that was 40x20x10 ft. and weighed 240,000 pounds. Despite some of the equipment being bolted to concrete slabs for 38 years, the Comptroller’s Decision ruled that the equipment remained tangible personal property for purposes of the manufacturing exemption. TCPA Hearing No. 108,455 (2017).
Obtained final Comptroller’s Decision after a contested hearing before the State Office of Administrative Hearings ruling that trailer-mounted hydraulic fracturing units constituted motor vehicles exempt from the sales and use tax. This was a significant decision defining the scope of the motor vehicle exemption to the sales and use tax. TCPA Hearing No. 106,629 (2016).
Obtained final Comptroller’s Decision in contested hearing before the State Office of Administrative Hearings ruling that the sales and use tax did not apply to a structured purchase of corporate aircraft. This was a significant decision because it denied the Comptroller’s attempt to apply an “economic substance” doctrine and resulted in a 90% reduction of the $4 million assessment. TCPA Hearing No. 105,611 (2013).
Obtained final Comptroller’s Decision after a contested hearing before the State Office of Administrative Hearings ruling that chain flooring vendor and installer was entitled to the lower .5% franchise tax rate for retailers and wholesalers. The Comptroller’s Decision dismissed the assessment. This was a significant decision establishing factors used to distinguish between retailers and contractors for purposes of assigning the .5% rate. TCPA Hearing Nos. 103,139 & 103,662 (2012).
Obtained final Comptroller’s Decision after a contested hearing before the State Office of Administrative Hearings enforcing settlement agreement in favor of major oil and gas producer. Enforcement of agreement resulted in a multi-million dollar sales and use tax refund. TCPA Hearing Nos. 47,752 & 47,753 (2012).
Obtained favorable Proposal for Decision after a contested hearing before the Texas State Office of Administrative Hearings ruling that the trade-in exemption to the sales and use tax applied to taxpayer’s transactions with its purchasing affiliate. The decision resulted in abatement of $5.5 million in sales and use tax assessments.
Negotiated favorable settlement of $3.4 million well service tax refund claim. The case involved the issue of whether perforation services were subject to the well service tax because they were performed by the same company performing fracking services and whether the well service company was entitled to recover a refund when it passed the tax expense through to its customer.
Negotiated favorable settlement of $1.5 million IFTA assessment against oilfield services company.
Negotiated favorable settlement of $20 million franchise tax assessment against large food products company. The case involved the issue of whether certain transportation and pension costs were included in the cost of goods sold deduction.
Negotiated favorable settlement of $8 million motor vehicle tax assessment against large terminal chassis leasing company. The case involved the issue of whether certain service charges related to chassis leases were subject to motor vehicle tax.
Represented oil well services company in contested hearing against the Texas Comptroller resulting in $3.5 million reduction of sales and use tax assessment.
Represented national furniture retailer before the Texas Comptroller resulting in $4.5 million reduction of sales and use tax assessment.
Represented large insurance provider in contested hearing against the Texas Comptroller resulting in $15.7 million in insurance premium and maintenance tax refunds.
Represented major air carrier in contested hearings before the Texas State Office of Administrative Hearings resulting in $1.2 million in sales and use tax refunds.
Obtained 75% reduction of $1 million franchise tax assessment against multi-national oil and gas company by proving inter-company loans qualified as deductible debt.
Assisted large automobile leasing company in securing substantial reductions in motor vehicle sales tax and titling fees by structuring corporate merger and reorganization to avoid taxable transfers and preserve fair market value deductions.
