Emerson Electric Co. v. Wasson

Finney, Justice:

Emerson Electric Company (Emerson) and its wholly owned subsidiary, Therm-O-Disc, Incorporated, (TOD) filed a consolidated South Carolina income tax return for the fiscal year ending September 30, 1978, pursuant to South Carolina Code Annotated Section 12-7-1570 (1976). After an audit, the Tax Commission imposed additional taxes in the amount of twenty-eight thousand seventy and no/100 ($28,070) dollars on the premise that Emerson had incorrectly applied the “throwback rule” of South Carolina Code Annotated Section 12-7-1170 (1976), to its consolidated return. Emerson paid the…