In the 1898 case of Louisville v. The Bank of Commerce, the U.S Supreme Court ruled in favor of The Bank of Commerce. At issue was whether a city could levy taxes on national banks beyond what federal law allowed for state taxation. In this instance, Louisville had imposed additional taxes on shares held by shareholders in national banks located within its jurisdiction. However, these extra charges were not applied to other moneyed capital or corporations operating within Kentucky's borders. The court found that such discriminatory taxation violated federal law and was therefore unconstitutional under the Supremacy Clause (Article VI) which establishes that federal laws take precedence over state laws when there is conflict between them. This decision reinforced previous rulings asserting protection against excessive local and state taxation for federally chartered institutions like national banks.

In the dissenting opinion for Louisville v. The Bank of Commerce, 1898, it was argued that the majority's decision to uphold a Kentucky law imposing taxes on national banks violated federal law and infringed upon Congress' power over national banking associations. It was contended that states should not have authority to tax these institutions in ways inconsistent with federal legislation or beyond what is permitted by Congress. The dissent also expressed concern about potential harm to national banks from discriminatory state taxation policies which could undermine their stability and effectiveness. Furthermore, they disagreed with the majority's interpretation of relevant case precedents and statutory provisions related to this issue.