Bruning case

The Bruning case refers to a 1933 U.S. Supreme Court decision involving the rights of a state to tax income. In this case, Nebraska taxed the income of a non-resident who earned money from a railroad business operating within the state. The Court ruled that Nebraska could only tax income generated within its borders, not income from activities outside the state. This case helped define the limits of state taxation rights, establishing that states cannot tax out-of-state income unless the activity has sufficient connection or "nexus" to the state.