If you’re doing business in more than one state, you’d best pay attention to a pending U.S. Supreme Court case entitled South Dakota v. Wayfair (2017 S.D. 56, 901 N.W.2d 754, cert. granted, U.S. S. Ct., Dkt. No. 17-494, 01/12/2018).  The outcome will either clarify or expand states’ rights to impose their sales or use taxes on out-of-state sellers.

Background

Every state with a sales tax also has a complementary use tax.  The purpose of the use tax is to capture any transaction that normally would have been subject to sales tax but somehow escaped the tax, generally because the purchase was […]