Willamette Law Online

United States Supreme Court Certiorari Granted


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Comptroller v. Wynne

Summarized by: 

Date Filed: May 27, 2014
Case #: 13-485
Court Below: 431 Md. 147 (2013).
Full Text Opinion: http://www2.bloomberglaw.com/public/desktop/document/Maryland_State_Comptroller_of_Treasury_v_Wynne_431_Md_147_2013_Co

Tax Law: Whether the Constitution of the United States requires states to provide an income tax credit for income tax paid to other states

Respondents reside in Maryland and own 2.4% of a corporation. In 2006, Respondents claimed a tax credit for taxes paid by the corporation to 39 other states on behalf of Respondent’s share of earned income. Petitioner, the Comptroller of the Treasury, determined that Respondents underpaid their taxes. Respondents appealed the determination claiming that the decision violated the dormant Commerce Clause.  

The Maryland Tax Court held in favor of Petitioner, but the Circuit Court reversed. The Maryland Court of Appeals affirmed the decision because by not allowing a tax credit, the state is essentially taxing Respondent twice. Petitioner asked the Supreme Court to grant certiorari to decide on the issue of whether the United States Constitution requires states to provide a tax credit for income tax paid to other states. Petitioner argues that the decision conflicts with other Supreme Court decisions and decisions from other courts. In addition, residents should try to change the tax policy through the political process instead of through the courts.