Court Won't Hear Appeal Of New York Internet Taxation
Legal News Feed
The Supreme Court on Monday refused to consider throwing out New York state's taxes on Internet purchases on websites like Amazon.com, a move that could change the way Internet commerce works.
The high court refused without comment to hear appeals from Amazon.com LLC and Overstock.com Inc., in their fights against a state law that forces them to remit sales tax the same way in-state businesses do.
Web retailers generally have not had to charge sales taxes in states where they lack a store or some other physical presence. But New York and other states say that a retailer has a physical presence when it uses affiliates — people and businesses that refer customers to the retailer's website and collect a commission on sales. These affiliates range from one-person blogs promoting the latest gadgets to companies that run coupon and deal sites.
Amazon and Overstock both use affiliate programs. Amazon has been collecting sales tax in New York as it fights the state over a 2008 law that was the first to consider local affiliates enough of an in-state presence to require sales tax collection. Overstock ended its affiliate program in 2008 after the law passed.
The Supreme Court refusal to hear the websites' appeal likely will prompt more and more states to attempt to collect taxes from website purchases. Around 20 states, including New York, already have similar laws on the books. The National Council of State Legislatures estimated that states lost an estimated $23.3 billion in 2012 from being prohibited from collecting sales tax from online and catalog purchases.
Related listings
-
Appeals court to take up San Francisco jail suit
Legal News Feed 12/02/2013A federal appeals court is set to take up a lawsuit over a former San Francisco sheriff's decision to remove male deputies from female housing units at the county's jail. San Francisco Sheriff Michael Hennessey made the decision in 2006 in response t...
-
International court summit debates Africa issues
Legal News Feed 11/22/2013The International Criminal Court's vexed relationship with Africa took center stage Wednesday on the opening day of the annual summit of its 122 member states. The prosecutions of Kenya's president and his deputy have plunged relations between the wo...
-
Custody dispute goes to Okla. Supreme Court
Legal News Feed 09/03/2013An Oklahoma man who is seeking custody of his Cherokee daughter has appealed a lower court decision to the Oklahoma Supreme Court. Dusten Brown filed a writ of prohibition Friday in Oklahoma Supreme Court. The filing is appealing a decision from Nowa...
New York Commercial Litigation Law Firm - Woods Lonergan PLLC
Founded in 1993 by Managing Partner James F. Woods, Woods Lonergan PLLC has built a strong reputation as a resourceful and industrious firm that provides clients with clear, concise, and straightforward answers to their most challenging legal issues. Partner Lawrence R. Lonergan, who joined the firm in 2008, has been a friend and colleague to Mr. Woods for over 40 years and shares the same business philosophy. Woods Lonergan PLLC’s collective experience and expertise enables the firm to expeditiously and effectively analyze the increasing challenges clients face in an evolving business and legal world, in many instances, avoiding unnecessary time and expense to our clients. Our mission is simple: provide cutting-edge expertise and sound advice in select areas of the law for corporate and business clients. We thrive on providing each client with personalized attention, forceful representation, and a collaborative team effort that embraces collective knowledge.