Marvel Suit

Marvel Prods. Ltd. has sued the California Board of Equalization for the return of $5,410,872.27 in California use taxes that Marvel claims were improperly assessed on work done by overseas animators.

In a petition filed in Los Angeles Superior Court, Marvel claims the state agency improperly treated the foreign animation work as purchases subject to use tax for the period 1982-88.

Marvel says the foreign workers actually were Marvel employees and thus the work cannot be taxed as purchases.

The complaint also seeks interest on the amount paid by Marvel to the state.

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