In the United States v. Boston Buick Company case of 1930, the Supreme Court ruled on a matter involving tax law and automobile sales. The Boston Buick Company had been selling cars in Massachusetts but was not paying taxes on those transactions because it believed that they were exempt under federal law. However, the government disagreed with this interpretation and sued for back taxes owed. The main issue at hand was whether or not an excise tax could be levied by Congress on car dealerships for their sale of automobiles to consumers within states where they are located. The Supreme Court sided with the government, ruling that such a tax did indeed fall within Congress's power to levy under Article I, Section 8 of the Constitution which grants Congress authority "to lay and collect Taxes". This decision clarified that businesses cannot avoid taxation simply by claiming exemption based on interstate commerce rules when their operations clearly have substantial effects within individual states.

The dissenting opinion in the United States v. Boston Buick Company case argued that the majority's decision to uphold a tax on car dealerships was incorrect. The dissenters believed that this tax was not within Congress' power to regulate interstate commerce, as it did not directly affect such commerce. They contended that the dealership merely facilitated transactions between manufacturers and consumers, rather than participating in interstate trade itself. Furthermore, they asserted that if every business indirectly involved with interstate commerce could be taxed under this rationale, then virtually all businesses could be subject to federal taxation - an outcome they deemed contrary to constitutional principles of limited government authority and state sovereignty.