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Justices may solve major state Internet tax problem

Justices may solve major state Internet tax problem

With elections looming, the U.S. Supreme Court announced Friday that it will review two lower-court rulings that ordered Texas to redraw 11 political districts found to be discriminatory.

In 1992, when home shopping was dominated by mail-order catalogs, the high court ruled a state may require out-of-state companies to collect sales taxes only if the company had outlets or warehouses within the state. "This longstanding case needs to reach closure, not just to secure appropriate permanent remedies for egregious violations of the Voting Rights Act, but to provide guidance for the next round of redistricting in 2021 when Latinos will once more account for increased congressional representation in Texas and other states", Thomas A. Saenz, MALDEF president and general counsel, said in a statement.

PIERRE, S.D. (KELO.com) - Gov. Dennis Daugaard had the following reaction to the Supreme Court accepting South Dakota's case on online sales taxes. The Government Accountability Office estimates that, had they been allowed, states and local governments could have collected as much as $13 billion in additional taxes on online sales.

As for the National Retail Federation, it wants federal legislation to resolve the issue.

Among the other cases the court agreed to hear are those addressing a long-standing Supreme Court precedent regarding out-of-state sales taxes, the constitutional role of Securities and Exchange Commission administrative law judges, and what courts must do to back up a decision not to grant a person a proportional sentence reduction under federal sentencing rules.

South Dakota is losing millions of dollars a year in uncollected sales taxes because of growing Internet sales.

States have enacted a variety of laws in hope of collecting more sales taxes, particularly when in-state businesses are used as conduits.

Russian Federation kills militants behind Syria air base attack - agencies
The two presidents focused on developments in Syria, including a drone attack against Russia's military base. The agreement has helped reduce fighting and warm ties between Russian Federation and Turkey.

Steve DelBianco, president of e-commerce trade association NetChoice, expressed disappointment about the court taking up the case.

No additional districts will be drawn while the Supreme Court mulls the state's appeal.

But the explosion of internet sales has put pressure on Congress and the court to reconsider the issue.

State lawyers were cheered two years ago when Justice Anthony M. Kennedy said the court should "reexamine" the 1992 decision in Quill Corp. v.

The case is South Dakota v. Wayfair. "Even if the court rules in favor of a modern sales tax policy, legislation will still be needed to spell out how that would work". Systemax agreed to collect the tax, while the other companies contested the state law.

Companies now "can instantly tailor their marketing and overnight delivery of hundreds of thousands of products to individual customers based on their IP addresses; these companies can surely calculate sales tax from a zip code".

The high court will take up the ecommerce taxation case in April, with a ruling expected as early as June.


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