High Court Has The Ball: State Digital Tax Cases Slowing Down

The U.S. Supreme Court’s decision to revisit its 26-year-old rule limiting states’ taxing authority over remote retailers might bring to a halt the slew of state cases challenging that ruling.

South Dakota became the first state to have its case reach the high court, contesting the 1992Quill Corp. v. North Dakotadecision that prohibits states from imposing tax collection obligations on vendors without a physical presence in-state.

Heeding calls from traditional retailers and dozens of states, the Supreme Court granted review Jan. 12 of the state’s contention that Quill is obsolete in the e-commerce era and should be overturned. ...