Should local businesses be 'fearful' after a U.S. Supreme Court ruling?

Should local businesses be 'fearful' after a U.S. Supreme Court ruling?

Should local businesses be 'fearful' after a U.S. Supreme Court ruling?

The U.S. Supreme Court ruled in a 5-4 decision Thursday that online retailers can now collect sales taxes on out-of-state purchases.

The case, South Dakota v. Wayfair, overturned a 1992 Supreme Court decision that protected online vendors from sales tax obligations if the vendor did not have a physical brick and mortar store in the state. However, consumers have the option to shop online, pay no sales tax, and get the item cheaper which is not fair to local stores, Deskins said.

The Court's decision does not mean the state won't enact various laws to make sure Oklahoma gets its due, Scott said.

If you enjoyed the illicit thrill of avoiding the 6.25 percent IL sales tax on internet purchases of running shoes or steaks, you'll mourn the court's opinion in South Dakota v. Wayfair. Other states are free to set their own thresholds, and it's not known what they might be or how long it would take for all the states to weigh in, says David Campbell, CEO of TaxCloud, a provider of tax compliance software.

Bridgett Lambert, the executive director of the West Virginia Retailers Association, said she was not sure if Justice understands the impact of the ruling. "I am not concerned about profit, just the potential headache", she added, noting that she might have to comply with tax rates "for, what, 9,000 districts?"

"There's no reason you should have to pay sales taxes in one scenario and not the other", Deskins said.

The problems with these earlier decisions, Kennedy said, were made "all the more egregious" by technological innovation.

The conservative chief justice, John Roberts, dissented along with liberal Justices Stephen Breyer, Sonia Sotomayor and Elena Kagan.

South Dakota was anxious about lost sales tax revenue.

There's still an opening for Congress to consider tax legislation to simplify the collection process, but this decision is good for business at traditional stores without being unfair to online merchants. Amazon does collect on direct sales, but not indirect sales.

The law specifically protects small businesses from collecting sales taxes if they have less than $100,000 in sales as well as fewer than 200 transactions in the state.

"With today's ruling, all businesses will compete on a level playing field", said South Dakota Gov. Dennis Daugaard (R), whose state brought the challenge to the Supreme Court.

In Oklahoma and in Norman, the biggest online retailer, Amazon, was already voluntarily remitting sales tax which comes to the city from the Oklahoma Tax Commission as a use tax.

We are asking you to join us and digitally sign our petition to show our political leaders that you stand against new Internet tax burdens that could permanently damage USA small businesses like yours.

A case study Vince Kadlubek was originally happy enough when he heard of the Supreme Court ruling.

In a previous statement before the overturning of Quill vs North Dakota, Rauschenberger said North Dakota was "missing out on up to $50 million in revenue each year".

"It is going to squash the entrepreneurship, I just can not stress that enough", Christy Keyon, who owns Bird and Bean Coffee House and Naomi and Olive Gift shop said.

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