Gorham Mfg. Co. v. State Tax Comm’n, 266 U.S. 265 (1924)

Gorham Manufacturing Company v. State Tax Commission

No. 5

Argued April 21, 1924
Decided November 17, 1924
266 U.S. 265

APPEAL FROM THE DISTRICT COURT OF THE UNITED STATES

FOR THE SOUTHERN DISTRICT OF NEW YORK

Syllabus

1. A taxpayer who has not exhausted the remedy provided before an administrative board to secure the correct assessment of tax will not be heard to assert its invalidity in a suit to enjoin it collection. P. 270.

2. So held where a foreign corporation attacked on constitutional grounds a tax for the privilege of doing business in New York, assessed, on the basis of allocated income, under Art. A of the New York Tax Law, as amended in 1918, but had failed to exercise its right under § 218 of that Article to apply for a revision and obtain a hearing before the state Tax Commission at which it might have submitted evidence, and upon which, if it appeared that the account included taxes which could not have been lawfully demanded, the Commission would have been required to resettle the same "according to law and the facts," and adjust the tax accordingly.

274 F. 975 affirmed.

Appeal from a decree of the district court which dismissed, upon final hearing, a bill to enjoin collection of a tax. See the next case, post, p. 271.