High Court’s Action May Encourage States On Internet Sales Tax

WASHINGTON — On perhaps the busiest online shopping day of the year, the Supreme Court refused on Monday to wade into a dispute over state sales taxes on purchases on websites like Amazon.com, an outcome likely to prompt more states to attempt to collect taxes on Internet sales.

It’s part of a furious battle — also including legislation in Congress — among Internet sellers, millions of buyers, aggrieved brick-and-mortar stores and states hungry for billions of dollars in extra tax revenue.

The high court without comment turned away appeals from Amazon.com LLC and Overstock.com Inc. in their fight against a New York court decision forcing them to remit sales tax the same way in-state businesses do. This could hurt online shopping in that state, since one of the attractions of Internet purchasing is the lack of a state sales tax, which makes some items a little cheaper than they would be inside a store on the corner.
More