Enactment of the Wayfair decision is coming to fruition as Congress had introduced a bill to phase in online sales tax collection, as per Accounting Today. Wayfair (South Dakota v. Wayfair) is the decision decided by the US Supreme Court giving states the ability to collect sales tax on internet sales although the vendor may not have a “brick and mortar” location in the state. The states have been suffering for years from the loss of sales tax revenue. As more business has moved from the local shops and malls, to the internet, states and counties have seen their sales tax revenue decline. This decision ends that. How the states will enforce will become more clear in the short term.
We look forward to assisting registered vendors through the nuances of the legislation to ensure compliance. Stay tuned for more details!
Keith Boyer, CPA