Opinion ID: 1876539
Heading Depth: 1
Heading Rank: 27

Heading: comparison of west with spector and alpha decisions

Text: In the Spector and Alpha cases, both involving foreign corporations engaged exclusively in interstate commerce, the tax was held invalid because it was imposed directly on the privilege of doing that business. In the West case, however, the tax was valid because it was a tax on the net income from business localized within the state and not a tax on the privilege of engaging in interstate commerce. In connection with the West case, it is significant to note that the California statutory scheme of taxation is similar to that of Minnesota. See Appendix at the end of this opinion. [25] In the light of the intent, as well as the carefully restricted impact, of our state statutes, as applied to taxpayer's extensive localized activities within Minnesota, we can only conclude that the net-income tax imposed under § 290.03, pursuant to the decisions of the United States Supreme Court, does not contravene the due process clauses of either the Federal or the State Constitutions and does not conflict with the commerce clause. The trial court is affirmed. Affirmed.