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Articles 1 - 9 of 9

Full-Text Articles in Law

Steiner V. Utah: Designing A Constitutional Remedy, Michael S. Knoll, Ruth Mason Mar 2020

Steiner V. Utah: Designing A Constitutional Remedy, Michael S. Knoll, Ruth Mason

Faculty Scholarship at Penn Law

In an earlier article, we argued that the Utah Supreme Court failed to follow and correctly apply clear U.S. Supreme Court precedent in Steiner v. Utah when the Utah high court held that an internally inconsistent and discriminatory state tax regime did not violate the dormant commerce clause. Unfortunately, the Supreme Court recently declined certiorari in Steiner, but the issue is unlikely to go away. Not every state high court will defy the U.S. Supreme Court by refusing to apply the dormant commerce clause, and so the Court will sooner or later likely find itself facing conflicting interpretations ...


Dual Residents: A Sur-Reply To Zelinsky, Michael S. Knoll, Ruth Mason Jan 2018

Dual Residents: A Sur-Reply To Zelinsky, Michael S. Knoll, Ruth Mason

Faculty Scholarship at Penn Law

In this article, we respond to Professor Zelinsky’s criticism of our arguments regarding the constitutionality of New York’s tax residence rule. We argue that the Supreme Court’s decision in Wynne requires reconsideration of the New York Court of Appeal’s decision in Tamagni.


The Economic Foundation Of The Dormant Commerce Clause, Michael S. Knoll, Ruth Mason Jan 2017

The Economic Foundation Of The Dormant Commerce Clause, Michael S. Knoll, Ruth Mason

Faculty Scholarship at Penn Law

Last Term, a sharply divided Supreme Court decided a landmark dormant Commerce Clause case, Comptroller of the Treasury of Maryland v. Wynne. Wynne represents the Court’s first clear acknowledgement of the economic underpinnings of one of its main doctrinal tools for resolving tax discrimination cases, the internal consistency test. In deciding Wynne, the Court relied on economic analysis we provided. This Essay explains that analysis, why the majority accepted it, why the dissenters’ objections to the majority’s reasoning miss their mark, and what Wynne means for state taxation. Essential to our analysis and the Court’s decision in ...


How The Massachusetts Supreme Judicial Court Should Interpret Wynne, Michael S. Knoll, Ruth Mason Dec 2015

How The Massachusetts Supreme Judicial Court Should Interpret Wynne, Michael S. Knoll, Ruth Mason

Faculty Scholarship at Penn Law

In this special report, Knoll and Mason discuss how the Massachusetts Supreme Judicial Court should apply Wynne when it hears on remand First Marblehead v. Commissioner of Revenue. The authors conclude that when it originally heard the case, the Massachusetts court mistakenly considered, as part of its internal consistency analysis, whether Gate Holdings Inc. experienced double state taxation. As developed by the U.S. Supreme Court and most recently applied in Wynne, the internal consistency test is not concerned with actual double taxation that may arise from the interaction of different states’ laws. Rather, the test is designed to determine ...


Comptroller V. Wynne: Internal Consistency, A National Marketplace, And Limits On State Sovereignty To Tax, Michael S. Knoll, Ruth Mason Jan 2015

Comptroller V. Wynne: Internal Consistency, A National Marketplace, And Limits On State Sovereignty To Tax, Michael S. Knoll, Ruth Mason

Faculty Scholarship at Penn Law

On November 12, 2014, the U.S. Supreme Court heard oral argument in Comptroller of the Treasury v. Wynne. The case, which has already been called the Court’s most important state tax case in decades, asks how the dormant Commerce Clause restrains state taxation of individual income. Because Wynne lacks the usual indicia of “certworthiness,” the case raises the possibility that the Court will reshape the constitutional balance between the states’ sovereign interest in collecting taxes and the national interest in maintaining an open economy.

The challenge for the Court, whose dormant Commerce Clause rulings have attracted intense criticism ...


Amicus Brief In Maryland Comptroller V. Wynne, Michael S. Knoll, Ruth Mason Sep 2014

Amicus Brief In Maryland Comptroller V. Wynne, Michael S. Knoll, Ruth Mason

Faculty Scholarship at Penn Law

The internal consistency test reveals that Maryland applies systematically higher “county” taxes to interstate commerce than to in-state commerce.

Economic analysis of Maryland’s tax regime — including its taxes on inbound, outbound, and domestic activities — confirms what the internal consistency test suggests, namely, that the Maryland “county” tax discourages interstate commerce. Specifically, the Maryland tax regime discourages Maryland residents from earning income outside of Maryland, and it simultaneously discourages nonresidents from earning income in Maryland. Maryland alone causes this distortion; the distortion does not depend on the taxes imposed by any other state.

Petitioner’s argument that Maryland’s outbound ...


The Supreme Court Lends States A Break: Department Of Revenue Of Kentucky V. Davis And The Civic Responsibility Exception To The Negative Commerce Clause, Ryan D. Wheeler Feb 2012

The Supreme Court Lends States A Break: Department Of Revenue Of Kentucky V. Davis And The Civic Responsibility Exception To The Negative Commerce Clause, Ryan D. Wheeler

Pepperdine Law Review

No abstract provided.


The Politics Of Federalism: Self-Interest Or Safeguards? Evidence From Congressional Control Of State Taxation, Brian D. Galle Aug 2011

The Politics Of Federalism: Self-Interest Or Safeguards? Evidence From Congressional Control Of State Taxation, Brian D. Galle

Boston College Law School Faculty Papers

We present for the first time in the literature a quantitative analysis of the efficacy of the "political safeguards of federalism." We also test the popular theory that congressional control of state authority to tax maximizes national welfare. Both analyses rely on a hand-collected data set of every federal statute to date affecting state power to tax.

Overall, our data suggest that federal decisions to curtail state autonomy are strongly influenced by congressional self-interest. Conditional on enactment, statutes affecting state taxing power are more likely to reduce state authority when a concentrated special interest group stands to benefit, and also ...


Designing Interstate Institutions: The Example Of The Streamlined Sales And Use Tax Agreement, Brian Galle Jan 2007

Designing Interstate Institutions: The Example Of The Streamlined Sales And Use Tax Agreement, Brian Galle

Georgetown Law Faculty Publications and Other Works

This Article presents a case study in designing cooperative interstate institutions. It takes as its subject the Streamlined Sales and Use Tax Agreement ("SSUTA"), a recently-developed compact among the States now awaiting congressional ratification. The SSUTA's primary goal is to bring uniformity to the field of state and local sales taxation, a regime in which multi-jurisdictional sellers now confront thousands of different sets of rules. I predict here that the SSUTA as currently designed is unlikely to accomplish that goal, and attempt to suggest possible amendments that could improve its expected performance. From these efforts I extract larger lessons ...