United States Supreme Court to Review Whether States can Require Internet-Based Sellers to Collect Sales Tax

Friday, January 12th, 2018

Supreme Court building.

The United States Supreme Court agreed to review South Dakota v. Wayfair, Inc. This case concerns whether states are allowed to require internet-based sellers to collect sales tax, even when they do not have any offices, employees, or property in the state.

In an earlier case called Quill Corp. v. North Dakota, the Supreme Court ruled that the US Constitution does not allow states to require sellers to collect tax on sales in the state unless the seller has a physical presence there. The Wayfair case deals with South Dakota's challenge to this rule. South Dakota is asking the Supreme Court to change the rule so that it is able to tax sales made in the state by internet-based sellers who have no physical presence there. If the Supreme Court changes the rule requiring physical presence, it would affect how states across the country are allowed to tax internet-based sales.

The court is expected to hear arguments on this case in April and to issue a ruling before June of 2018.

The order from the Supreme Court agreeing to hear the case is available here:

https://www.ttrus.com/United States Supreme Court Review Of Sales Tax on Internet Based Sellers

About TTR

Transaction (buying or selling things), Tax (the tax on this activity), Resources (our people, our website, our support services) - TTR, Inc.

TTR has a website that companies subscribe to and use daily. This website provides a list of everything that can be bought or sold in the U.S. It provides simple answers to whether buying or selling these items is taxable (subject to a sales tax or other tax), and it provides all the legal authority to support these tax answers.

TTR likes to keep things simple and fun, which is why it has great people who provide help to clients on any support questions they have about transaction tax issues.

Please visit TTR on the web at www.ttrus.com or call 866.578.8193.

Texas Exempts Boats and Motors Temporarily Used in the...

Wednesday, June 26th, 2019 -Texas has recently passed a bill creating an exemption for boats and motors purchased for use outside of the s...

Data Survey Services Not Taxable in South Carolina

Monday, June 24th, 2019 -The South Carolina Department of Revenue recently ruled that business data survey services were non-taxable pr...

Senior Center Cafeterias are Taxable in Missouri

Friday, June 21st, 2019 -Missouri's Director of Revenue recently issued a letter ruling taxing the sale of cafeteria food by a 501(c)(3...

Hot-Air Balloon Rides in Missouri are Taxable When...

Wednesday, June 19th, 2019 -Missouri recently released a letter ruling addressing the taxation of hot-air balloon rides. The taxpayer was ...

Nevada Exempts Certain Medical Equipment

Monday, June 17th, 2019 -Effective July 1, 2019, Nevada will exempt durable medical equipment, oxygen delivery equipment, and mobility ...

Participatory Sports are Taxable in New York

Friday, June 14th, 2019 -The New York Division of Tax Appeals recently denied a refund claim made by an instructor-led indoor spin clas...