EMC Corporation v. Glenn Hegar, Comptroller of Public Accounts of the State of Texas And Ken Paxton, Attorney General of the State of Texas

OPINION

Melissa Goodwin, Justice

This appeal presents the issue of how a taxpayer apportions the share of its taxable margin .to its Texas operations. for franchise tax purposes. According to the Comptroller of Public Accounts and the Attorney General (collectively the Comptroller), a taxpayer may not use the three-factor formula in chapter 141 of the Tax Code, the Multistate Tax Compact, for franchise tax purposes but must use the single-factor formula in section 171.106(a) of the Tax Code. See Tex. Tax Code §§ 141.001, arts. Ill, IV, 171.106(a). 1 Facing cross-motions for summary judgment on…