High Court Leaves New York's Online Sales Tax Law in Place

After justices decline retailers' cases, Congress eyed to address online loophole.

, The National Law Journal


Amazon fulfillment center
States are seeking revenue from Internet sales from companies such as Amazon.

Bill Hughes of the Retail Industry Leaders Association said, "It's time for Congress to close the sales tax loophole and give all retailers a fair shot in the free market." But Overstock's Frederick was not optimistic about Congress resolving the issue. "In the current environment, waiting for Congress to act does not seem very promising," Frederick said. "People have made that argument for nearly 50 years and Congress hasn't acted, which is why the court occasionally feels the need to review challenges to state taxes that interfere with interstate commerce."

Contact Tony Mauro at tmauro@alm.com.

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