Sales Tax-Small Businesses story
- Author: Delia Davidson Jun 26, 2018,
Jun 26, 2018, 3:19
The Illinois provision mirrors the South Dakota law at the center of the Supreme Court case, and is scheduled to go into effect on October 1. The cases the court overturned said that if a business was shipping a product to a state where it didn't have a physical presence such as a warehouse or office, it didn't have to collect the state's sales tax.
Previously, companies without a physical presence in a state were exempt from sales tax collection requirements.
Online retailers are no longer exempt from not collecting sales tax on purchases in states where they have no presence, a Supreme Court decision handed down on Thursday that, experts say, could revitalize struggling brick-and-mortar retailers.
As The New York Times reported,"Writing for the majority in the 5-to-4 ruling, Justice Anthony M. Kennedy said the Quill decision had distorted the nation's economy and had caused states to lose annual tax revenues between $8 billion and $33 billion". She applauded the Supreme Court's action Thursday, calling it "a huge victory decades in the making for our brick-and-mortar businesses". Wayfair (W) operates five online retail sites that sell a variety of goods for the home.
South Carolina's main retail association said the state could collect an added $250 million a year in tax revenue - money from S.C. shoppers that could be used to hire school resource officers, retain teachers or fill vacancies at understaffed state agencies. Roberts argued that the decision isn't one that should be decided by the Supreme Court. The Supreme Court heard the case in April of this year and decided in South Dakota's favor. "No longer should out-of-state online only businesses have an unfair price advantage over our friends and neighbors who own local businesses".
Seven injured as taxi runs into crowd in Moscow
Moscow Police said the driver likely lost control of the vehicle rather than deliberately steering his auto into pedestrians. The accident took place on Ilinka Street, approximately 650 feet from Moscow's famous Red Square and GUM shopping arcade.
The group described the decision as a "body blow" to customers and small online businesses.
Remote sellers will be required to collect and remit sales tax to North Dakota if they make a minimum of either 200 sales or $100,000 in sales per year in the state, according to Rauschenberger. Third-party vendors on Amazon often don't collect the tax.
Internet companies opposed to the South Dakota law appealed.