People Ex Rel. Standard Oil Co. v. . Law

In 1917 a tax was imposed upon corporations for the privilege of exercising their franchises and doing business within this state. It was based upon their net income, “ upon which income such corporation is required to pay a tax to the United States.” (Laws 1917, chap. 726, sec. 209.) We, therefore, necessarily accepted the definitions of “ gross ” and “ net ” income contained in the federal statute, purely arbitrary as those definitions were. It was soon seen, however, that no opportunity was given for a hearing to the taxpayer here, before the tax was imposed upon it, and during the next…