Supreme Court Overturns Ban On Online Sales Tax

In a 5-4 decision, the Supreme Court overturned a long-standing precedent Monday that had barred states from requiring online companies to collect and pay sales taxes, delivering a victory for cash-strapped states and brick-and-mortar retailers.

Online retailers have long enjoyed an advantage over brick-and-mortar stores because of a 1992 Supreme Court ruling in Quill v. North Dakota, which forbade states from interfering with interstate commerce by taxing companies that don’t have a physical presence within their boundaries.

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Stephanie Mencimer