Newsletters
Customer Relationship Management News NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
Home CRM Systems Customer Service Business Intelligence Sales & Marketing More Topics...
Sales & Marketing
24/7/365 Network Uptime!
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.


 Sales & Marketing
1.   Visa Intros Online Payment Service
2.   Facebook Testing Buy Button
3.   Opera Software To Buy AdColony
4.   Facebook Buys Video Ad Biz LiveRail
5.   Small Biz Learns Recession Lessons


advertisement
Opera Software To Buy AdColony
As mobile video ad market balloons.
Average Rating:
Small Biz Learns Recession Lessons
Rebuilding smarter, more tech-savvy.
Average Rating:
Aerohive Helps Engage Retail Buyers
Apps for in-store customer engagement.
Average Rating:
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
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.
 
New Web Tracking Technologies Defeat Privacy Protections
Recently developed Web tracking tools are able to circumvent even the best privacy defenses, according to a new study by researchers at Princeton and the University of Leuven in Belgium.
 
Juniper DDoS Solution Aims at High-IQ Networks
In the face of more complex attacks, Juniper Networks is boosting its DDoS Secure solution to help companies mitigate the threats with more effective security intelligence throughout the network fabric.
 

Enterprise Hardware Spotlight
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.
 
Another Day, Another Internet of Things Consortium Is Born
In the emerging Internet of Things, zillions of devices will be talking to each other. Samsung, Intel and Dell just formed a consortium to ensure each thing can understand what others are saying.
 

Navigation
CRM Daily
Home/Top News | CRM Systems | Customer Service | Business Intelligence | Sales & Marketing | Contact Centers | Customer Data | CRM 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.