Tom C. Clark

“ Commerce between the States having grown up like Topsy, the Congress meanwhile not having undertaken to regulate taxation of it, and the States having understandably persisted in their efforts to get some return for the substantial benefits they have afforded it, there is little wonder that there has been no end of cases testing out state tax levies. ”

“ Clause because a state tax is imposed on corporate net income of an interstate enterprise which is attributable to earnings within the taxing state * * *.'
While the economic wisdom of state net income taxes is one of state policy not for our decision, one of the 'realities' raised by the parties is the possibility of a multiple burden resulting from the exactions in question. The answer is that none is shown to exist here. This is not an unapportioned tax which by its very nature makes interstate commerce bear more than its fair share. ”

“ Georgia levies a tax [3] on net incomes 'received by every corporation, foreign or domestic, owning property or doing business in this State.' [4] The Act defines the latter as including 'any activities or transactions' carried on within the State 'for the purpose of financial profit or gain' regardless of its connection with interstate commerce. To apportion net income, the Act applies a three-factor ratio based on inventory, wages and gross receipts. ”

“ Commonwealth of Massachusetts, 1925, 268 U.S. 203, 216, 45 S.Ct. 477, 480, 69 L.Ed. 916, where this Court, striking down a Massachusetts excise tax on a foreign corporation engaged exclusively in interstate commerce, noted that ' (t) he right to lay taxes on tangible property or on income is not involved; * * *' Furthermore, none of the cases which the dissent relies on for the proposition that ' (N) o State has the right to lay a tax on interstate commerce in any form * * *' was a net income tax case. ”

“ Two additional salesmen used it as a clearing house. Each employee was paid a straight salary by the appellant direct from Mason City and two cars were furnished by it for the salesmen. Appellant maintained no bank account in Minnesota, owned no real estate there, and warehoused no merchandise in the State. All sales were made on a delivered price basis fixed by the appellant in Mason City and no 'pick ups' were permitted at its plant there. The salesmen, however, were authorized to quote Minnesota customers a delivered price. ”

“ These dealers were encouraged by respondent to carry a local inventory of its products by granting to those who did so a special price concession. However, the corporation maintained no warehouse or storage facilities in Georgia. It did maintain a sales-service office in Atlanta, which served five States. This office was headquarters for one salesman who devoted about one-third of his time to solicitation of orders in Georgia. He was paid on a salary-plus-commission basis while a full-time woman secretary employed there received a regular salary only. ”

“ The Court rejected this contention as being 'not now before us' even though other States actually collected property taxes for the same year from Northwest upon 'some proportion' of the full value of its fleet. [6] Here the records are all to the contrary. There is nothing to show that multiple taxation is present. ”