South Dakota v. Wayfair, Inc.

On June 21, 2018, in their decision in South Dakota v. Wayfair, the United States Supreme Court reversed decades of precedent that will have a profound impact to the way states collect sales taxes. Prior to the Wayfair decision, a seller had to have a physical presence in a state before they could be required to collect sales tax from their customers and remit it to the states. States may now require a seller to collect sales tax if the seller conducts a sufficient amount of business in the state. Because of this decision, sellers must review their sales activities in each state to determine if they are required to begin collecting sales tax.