The U.S. Supreme Court case Wheeling Steel Corp. v. Glander, Tax Commissioner of Ohio in 1948 revolved around the issue of discriminatory taxation by a state against out-of-state corporations and their property located within that state's borders. The Wheeling Steel Corporation, incorporated in Delaware but with properties in Ohio, argued that it was being unfairly taxed by the State of Ohio compared to similar businesses incorporated within the state itself - an alleged violation of both due process and equal protection clauses under the Fourteenth Amendment as well as interstate commerce clause under Article I Section 8 Clause 3 (the Commerce Clause) of the Constitution. The court ruled unanimously in favor of Wheeling Steel Corp., finding that such differential treatment indeed constituted discrimination against interstate commerce and violated constitutional principles regarding equality before law for all citizens regardless if they are residents or non-residents.

In the dissenting opinion for Wheeling Steel Corp. v. Glander, Justice Frankfurter argued that Ohio's tax law did not violate the Commerce Clause of the U.S. Constitution as it was applied to an out-of-state corporation operating within its borders. He contended that a state has every right to impose taxes on businesses functioning within its jurisdiction, regardless of where their headquarters are located or where they were incorporated. The majority's ruling, he believed, undermined states' rights and could potentially lead to corporations exploiting loopholes in order to avoid paying their fair share of taxes by simply incorporating elsewhere while still conducting business in various states across the country.