District of Columbia v. General Motors Corporation

(dissenting) :

This court in Smoot Sand and Gravel Corp. v. District of Columbia1 was urged to consider a three-factor formula consisting of manufacturing costs, business property located in the District and sales made here. But the opinion noted that no evidence had been offered to compel acceptance of that formula. Moreover, the petitioner had failed to show that an arbitrary and unreasonable result flowed from the regulation which directed the apportionment of net income by considering only sales. Thus we refused to say that the assessments were invalid and erroneous.

Here the Tax Court,…