With California’s Legislature in full swing, MuniServices, an Avenu Company, has published a policy update that covers relevant issues regarding local revenue, including an update on the South Dakota v. Wayfair case concerning interstate commerce.
For context, the US Supreme Court decided to take up South Dakota's challenge to Quill v. North Dakota, which established that the current system is too complicated to require remote sellers to collect sales taxes. This created what some consider a loophole, giving Internet-only retailers a price advantage over brick and mortar stores. Although Wayfair / Overstock won the case at the state level, SCOTUS heard oral arguments on April 17, 2018. The complicated nature of this issue was evident by questions posed during oral arguments by members of the court, a summary of which can be found here.
Avenu was invited to participate in a post oral-argument roundtable with national experts and practitioners in sales tax that were in the courtroom earlier in the morning. The forum was hosted and sponsored by McDermott Will and Emery, the Council on State Taxation (COST) and Bloomberg Tax. Collection and administration of sales tax is a complicated issue and even more so for remote / internet transactions.
The read the full policy analysis, click here.
The report above was compiled by Brenda Narayan, Director of Government Relations at MuniServices, an Avenu company. For 40 years, MuniServices has been a national leader in revenue enhancement and has partnered with over 225 local agencies statewide, including cities, counties and transportation districts.
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