In arguably the most important sales tax case in the past 25 years, the U.S. Supreme Court announced its highly anticipated decision in South Dakota v. Wayfair, Inc., in June. The Court’s 5-4 decision in favor of South Dakota overturned the Court’s previous decision in Quill Corp v. North Dakota.
In Quill, the Court established a bright line test for defining “substantial nexus” under the Commerce Clause. In order to have “substantial nexus,” it was determined that a seller must have a physical presence within the state before that state would have the jurisdiction to require collection of sales tax from customers within the state.
Join us for a discussion of the ruling and the administrative impact on businesses with multi-state operations.
Other highlights include:
- An overview of the case
- Key takeaways from the decision
- Review of other states with similar economic nexus standards
- Thoughts on future state of remote sellers