In Cutler v. Franchise Tax Bd. (2012) 208 Cal.App.4th 1247, the Court of Appeal invalidated section 18152.5, which allowed "an individual California taxpayer to defer capital gains on the sale of stock in a qualified small business if the taxpayer used the gain to purchase stock in another qualified small business. The deferral was available, however, only if the stock sold and purchased was issued by corporations that used 80 percent of their assets in the conduct of business in California and that maintained 80 percent of their payrolls in California." (Cutler, supra, 208 Cal.App.4th at p. 1250.) The court stated it was bound by Fulton Corp. v. Faulkner (1996), 516 U.S. at page 330 to "conclude that, because the statute affords taxpayers a deferral for income received from the sale of stock in corporations maintaining assets and payroll in California, while no deferral is afforded for income from the sale of stock in corporations that maintain assets and payroll elsewhere, the deferral provision discriminates on its face on the basis of an interstate element in violation of the commerce clause." (Cutler, at p. 1250.)