The 9th U.S. Circuit Court of Appeals ruled invalid the business strategy by the Barona Band of Mission Indians to avoid the sale tax and has ordered the tribe to pay more than $200,000 to state in sales tax.
In 2001, the tribe recruited contractors for the $75 million casino project, promising to protect the contractors from legal liability when they agreed to a contract that called for sales of taxable construction products to be completed on tribal property—which is outside the jurisdiction of the state. Read more about it here.
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