Tennessee Senate advances nearly $2 billion business tax cut, refund to prevent lawsuit
The Tennessee Senate has approved a nearly $2 billion tax and refund for businesses, a proposal designed to prevent threats of a potential lawsuit. (George Walker IV/AP Photo file)
At issue are concerns that the state’s franchise tax violates a U.S. Constitution’s Commerce Clause provision, which bans states from passing laws that burden interstate commerce.
Want to comment on our stories or respond to others? Join the conversation by subscribing now. Only paid subscribers can add their thoughts or upvote/downvote comments. Our commenting policy can be viewed here.