LOCATION: San Antonio, Texas
DOCKET NO.: 94 ORIG
DECIDED BY: Burger Court (1981-1986)
CITATION: 465 US 367 (1984)
ARGUED: Oct 05, 1983
DECIDED: Feb 22, 1984
Huger Sinkler - on behalf of the Plaintiff
Louis F. Claiborne - on behalf of the Defendant
Susan Lee Voss - as amici curiae
Facts of the case
Media for South Carolina v. ReganAudio Transcription for Oral Argument - October 05, 1983 in South Carolina v. Regan
Audio Transcription for Opinion Announcement - February 22, 1984 in South Carolina v. Regan
Warren E. Burger:
The judgment in 94-original, South Carolina against the Secretary of the Treasury will be announced by Justice Brennan.
William J. Brennan, Jr.:
In this action, the State of South Carolina invokes the original jurisdiction of this Court by motion for leave to file an original suit against the Secretary of Treasury of the United States.
Before in 1982, the interest earned on the obligations of any State was exempted from federal income taxes.
In 1982, Congress enacted the Tax Equity and Fiscal Responsibility Act and provided that only obligations in registered form would qualify for that exemption.
Indeed the amendment expressly provides that the interest on obligations issued by a State in bearer form are taxable -- is taxable.
In South Carolina, asks leave to file a complaint seeking the declaratory and injunctive relief against the Secretary on the ground that this 1982 provision violates the Tenth Amendment and the doctrine of intergovernmental tax immunity.
The Secretary opposes the motion on the ground that enact -- that such an action is barred by the Federal Anti-Injunction Act.
That Act provides that no suit for the purpose of restraining the assessment or collection of any tax shall be maintained in any court by any person whether or not such person is the person against whom such tax was assessed.
For reasons stated in an opinion filed with the clerk, we find no merit in the Secretary’s argument and grant the motion of South Carolina for leave to file a complaint.
I announce that judgment for the Court in an opinion parts I and II of which are for the Court and Part III in which is joined by the Chief Justice and Justices White and Marshall.
Justice Blackmun filed an opinion concurring in the judgment.
Justice O'Connor filed an opinion concurring in the judgment in which Justices Powell and Rehnquist joined.
Justice Stevens filed an opinion concurring in part and dissenting in part.
Warren E. Burger:
Thank you, Justice Brennan.