SCOTUS Usurps Power of Congress to Regulate Interstate Commerce
Thursday’s Supreme Court decision in South Dakota v. Wayfair, Inc. threatens to upend online commerce, drive thousands of small entrepreneurs out of business, and hike prices for hundreds of millions of consumers.
Under prior law, states could not force remote retailers to collect and remit sales taxes on their behalf unless the business had a “physical presence†within the state. This requirement no longer applies, potentially saddling remote retailers—many of whom are small businesses—with onerous compliance costs related to the nation’s 12,000-plus taxing jurisdictions, many with their own rates, bases, rules, and regulations.
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