Newsletters
News & Information for Technology Purchasers NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
This ad will display for the next 20 seconds. Click for more information, or
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
Enterprise I.T.
Tame your scariest paperwork. Find Out How
Average Rating:
Rate this article:  
Supreme Court Won
Supreme Court Won't Hear Internet Sales Tax Case

By Seth Fitzgerald
December 2, 2013 2:21PM

    Bookmark and Share
For five years, Amazon and Overstock have been battling New York state over the online sales tax issue. By refusing to hear Amazon's argument, the U.S. Supreme Court has allowed states to introduce laws requiring online retailers to collect sales taxes without any trouble.
 

Related Topics

Amazon
Sales Tax
E-Commerce



Various state governments have been trying to put regulations in place to require online retailers, such as Amazon, to collect sales taxes. Even though the companies and states have been arguing about these requirements, Amazon and other retailers have reluctantly started to include sales taxes in their purchases.

The last hope for online stores was to have the issue discussed in front of the U.S. Supreme Court but as of today, the Court has declined to hear the case and therefore, any state that wants to require online retailers to collect sales taxes will be able to do so.

An End To The Battle?

For five years, Amazon and Overstock have been battling New York state over the sales tax issue and now that the Supreme Court has refused to hear the case, online retailers appear to be out of luck. Most recently, Amazon lost its case in an appeals court after it was trying to make the argument that sales taxes should not be imposed on some of its products since Amazon itself has no presence within the state of New York.

The justices who decided not to hear the case have all but agreed with the New York court's ruling, forcing Amazon, Overstock, and others, to collect sales taxes on most of their products. Amazon and its competitors had claimed that the Supreme Court needed to see the case since they had received mixed rulings from various courts around the country and the regulations in place simply were not clear enough on the issue.

“There are billions of dollars of commerce for which we need guidance that we can rely upon,” said David C. Blum, a Chicago tax lawyer who has represented online retail stores including Amazon. He added: “We have evolved into an Internet world, and we need to know what’s taxable and what’s not.”

An Unfair Advantage

Traditional brick-and-mortar stores have long complained about online retailers not having to collect sales taxes. As states began to look at how they could require online stores to collect taxes, physical retailers stated that by not collecting sales taxes, online stores had the advantage.

Since 2008, New York State has had a law in place requiring online stores to collect sales taxes but as more states began to introduce similar laws, the issue became increasingly prominent.

By refusing to hear Amazon's argument, the Supreme Court has allowed the states to introduce these laws without any trouble. There are still a handful of states that have no sales tax, but these rulings will affect the vast majority of Americans.

Now that more states are requiring Amazon to collect sales taxes, physical stores will surely benefit. However, Amazon is looking to make its services even better by offering Sunday delivery and faster shipping times to keep customers from becoming angry because they have to pay sales taxes on their purchases.
 

Tell Us What You Think
Comment:

Name:



Salesforce.com is the market and technology leader in Software-as-a-Service. Its award-winning CRM solution helps 82,400 customers worldwide manage and share business information over the Internet. Experience CRM success. Click here for a FREE 30-day trial.


 Enterprise I.T.
1.   BlackBerry BES 10 Now Hosted
2.   Teaming Up: CIOs, IT Asset Managers
3.   Juniper DDoS for High-IQ Networks
4.   IBM Rolls Out Hybrid Cloud Services
5.   Windows 7 Ends Mainstream Support


advertisement
Backlash Stirs Against H-1B Visas
Debate over foreign workers continues.
Average Rating:
IBM Rolls Out Hybrid Cloud Services
Based on SoftLayer net infrastructure.
Average Rating:
Windows 7 Ends Mainstream Support
But extended support still available.
Average Rating:
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Wall Street Journal Hacked Again
Hacked again. That’s the story at the Wall Street Journal this week as the newspaper reports that the computer systems housing some of its news graphics were breached. Customers not affected -- yet.
 
Dropbox for Business Beefs Up Security
Dropbox is upping its game for business users. The cloud-based storage and sharing company has rolled out new security, search and other features to boost its appeal for businesses.
 
34 European Banks Hit by Android-Skirting Malware
Criminals have been finding gaping holes in Android-based two-factor authentication systems that banks around the world are using. The result: 34 banks in four European countries have been hit.
 

Enterprise Hardware Spotlight
Microsoft Makes Design Central to Its Future
Over the last four years, Microsoft has doubled the number of designers it employs, putting a priority on fashioning devices that work around people's lives -- and that are attractive and cool.
 
Contrary to Report, Lenovo's Staying in Small Windows Tablets
Device maker Lenovo has clarified a report that indicated it is getting out of the small Windows tablet business -- as in the ThinkPad 8 and the 8-inch Miix 2. But the firm said it is not exiting that market.
 
Seagate Unveils Networked Drives for Small Businesses
Seagate is out with five new networked attached storage products aimed at small businesses. The drives are for companies with up to 50 workers, and range in capacity from two to 20 terabytes.
 

Navigation
NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | Data Storage | CRM Systems | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech
Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.