Citations 297 U.S. 233 (more) | End date 1936 | |
Full case name Alice Lee Grosjean, Supervisor of Public Accounts for the State of Louisiana v. American Press Co., et al. Majority Sutherland, joined by unanimous People also search for American Booksellers Foundation for Free Expression v. Strickland | ||
Grosjean v. American Press Co., 297 U.S. 233 (1936), was a decision of the United States Supreme Court over a challenge to a separate sales tax on newspapers with circulation of over 20,000.
Contents
Background
Louisiana Governor Huey Long received more support in rural areas whereas the larger urban newspapers tended to be more critical of him. His administration levied a 2% gross receipts tax in an attempt to tax newspapers critical of him into submission. The 13 newspapers impacted by the tax all sued in federal court.
Decision
The Supreme Court, in a unanimous decision, found the tax unconstitutional. The decision held that states could charge customary taxes on media but higher taxes ran afoul of the First Amendment. Specifically, the court found the law similar to the British Stamp Act of 1712 in that it would it suppress free speech through taxation and allowing a similar law would be against the clear Founders' Intent of the Bill of Rights. Justice George Sutherland wrote that "the revolution really began when, in 1765, that government sent stamps for newspaper duties to the American colonies."
The case is often cited because it defined corporations as "persons" for purposes of analysis under the Equal Protection clause.