State and federal lawmakers on both sides of the aisle are divided on an issue that’s coming to a head with the close of 2017: remote sales tax. The latest to weigh in is Congressman Bob Goodlatte of Virginia.
Retailers have long relied on Quill Corp. v. North Dakota to protect them from collecting taxes in states where they have no physical presence. Now South Dakota is hoping to challenge the 1992 Supreme Court ruling.
South Dakota is not defending the Remote Seller Compliance Law that is at odds with Quill. Instead, it has asked the South Dakota Supreme Court to recommend the United States Supreme Court take the case up for review.
Prime Day can increase exposure, which is normally a plus for retailers. Yet exposure can also bring risk, especially for marketplace sellers. A growing number of states are looking to tax third-party sales.