The Supreme Court just caused stocks of online retailers to tumble

Supreme Court rules that states may require online retailers to collect sales taxes

Amazon, eBay, and Etsy stock are tanking after Supreme Court sales tax decision

"The Supreme Court has acted correctly in recognizing that it's time for outdated sales tax policies to change with the times", Otto said.

However, under the new ruling, NY consumers would have to pay sales tax even though Newegg has no physical storefront in the Empire state.

Online shoppers may have to pay a little more at checkout due to a decision from the highest court in the land.

Governor Eric Holcomb said he wants to take a look at what the ruling will mean for IN, and the taxes collected here.

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Whatever lawmakers do, don't assume that the imposition of online sales taxes will sink e-commerce. Mail-order sales in 1992 were only $180 billion, while online sales past year topped $450 billion. The results were published in the April 1 issue of BRAIN. This reverses the Court's 1992 decision that state's could only collect sales tax from online retailers with a physical presence in that state, such as a warehouse or office building. The court said then, in Quill vs.

The decision, in which South Dakota prevailed over the online furniture retailer Wayfair, immediately sent ripples through the internet shopping industry sending shares tumbling in Amazon, eBay, Etsy and others.

The majority overruled a 1992 decision holding that the Constitution's dormant commerce clause bars states from collecting sales taxes from retailers without a brick-and-mortar presence in the state. Kennedy said that position was archaic, "unsound and incorrect" in the internet age. "Last year, ecommerce retail sales alone were estimated at $453.5 billion", he wrote. In other words, the plaintiffs have one more opportunity to make any other Commerce Clause challenges to the law (aside from physical presence) and until we know what they opt to do, enforcement must wait. "States are already confronting the complexities of defining physical presence in the Cyber Age", he wrote.

Twenty-four states have already agreed to a streamlined proposal for vendors collecting sales taxes, but some of the most populous states - New York, Texas, and California - have until now refused to sign on, and have far more complicated tax collection systems.

The biggest beneficiary of the ruling would be the states. However, Alaska and Montana allow individual individual cities to collect local sales taxes, according to the Tax Foundation.

The Minnesota Revenue Department said its staff is "analyzing the court's decision" and will provide guidance to retailers within 30 days.

Amazon.com entered into an agreement with the state of Oklahoma to collect and remit sales taxes beginning in 2017.

But big gaps remained - for example, Amazon collected tax on its own sales but generally not on third-party sales through its marketplace.

Watch for this story to be updated later Thursday with reaction from the bike industry.

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