Texas Supreme Court hears oral arguments in Texas franchise tax constitutional challenge


On Monday, October 24, the Texas Supreme Court heard oral arguments in In re: Allcat Claims Service, L.P. and John Weakly, No. 11-0589. Allcat’s suit alleges that the Texas franchise tax violates Texas’ constitutional provision on enacting a state tax on individual income without voter approval. Each side in the case had 30 minutes to present arguments, and opposing counsel were interrupted frequently from the bench, with all nine Justices posing questions.

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