Supreme Court avoids online tax dispute
The Supreme Court has declined to review the issue of whether states can force online retailers to collect sales taxes.
The Supreme Court this week declined to review the multibillion-dollar issue of whether states can force online retailers to collect sales taxes, leaving intact a patchwork of laws across the country and increasing the pressure on Congress to come up with a national solution to the dispute. All but five states now impose sales taxes on online purchases. This week’s decision leaves unchanged a New York law that forces Amazon.com to collect taxes on sales to New York residents. Amazon argued that because it had no physical presence in that state, the New York law violated the Constitution. Brick-and-mortar businesses say that failure to impose taxes on online purchases puts them at a disadvantage.
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