Compliance » Supreme Court Refuses To Hear On-Line Sales Tax Case

Supreme Court Refuses To Hear On-Line Sales Tax Case

December 4, 2013

Bricks-and-mortar retailers got some good news on Cyber-Monday when the Supreme Court announced it would not hear a challenge to a New York law that allows the state to collect sales taxes on merchandise purchased on-line. Some estimates are that states lose more than $23 billion a year in revenue because of on-line purchases, and the New York law has become a model for states that want to collect those taxes. Currently 34 states do that for at least some on-line purchases. The Supreme Court’s refusal to hear the New York case is likely to increase pressure on Congress to enact federal law that will address the issue.

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