Retailers Hope For Certainty As Supreme Court Hears Tax Case


Retailers are hoping for a resolution this year from the Supreme Court on a decades-old dispute: whether companies must collect sales tax on items sold in a state where they don’t have a store or other building.

If the court decides in favor of state tax officials, many small companies could be forced to spend time and money to collect taxes and submit them to local governments.

On the other side: Retailers who collect sales tax and believe those who don’t have an unfair advantage.

The justices will hear online retailers Wayfair, and Newegg challenging a South Dakota law. It requires out-of-state retailers with sales of more than $100,000 or over 200 transactions in-state to collect sales tax.

The decision could have national implications on e-commerce.


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