Steward Machine Co. v. Davis
United States Supreme Court
301 U.S. 548 (1937)
Relevant factsFree
Under the Social Security Act's unemployment compensation program, employers were required to pay a federal tax but received a 90 percent credit against that tax if they contributed to a state unemployment fund meeting federal requirements.
IssueFree
Whether a federal law that taxes employers but grants a credit to employers who contribute to state unemployment funds impermissibly coerces states contrary to the Tenth Amendment.