US Supreme Court Overturns Quill
Major Victory for Brick and Mortar Retailers
Reaction from Washington and CT
What’s next?
Links to Live By
Look out for the Tuesday Ticket
- We are thrilled to report today that the long awaited decision by the United States Supreme Court on the South Dakota vs Wayfair case was released yesterday and the Court ruled in favor of the South Dakota, thereby overruling the longstanding Quill case.
- The Quill case essentially governed the rules for online sales and exempted purely online retailers from charging, collecting and remitting sales tax. That exemption gave those online retailers like Wayfair a tremendous advantage over brick and mortar retailers.
- The court’s 5 to 4 decision is a tremendous victory for retailers, State and Local Governments and we would argue, consumers who are paying higher sales taxes because States have not been allowed to collect the millions of dollars from on line retailers.
Major Victory for Brick and Mortar Retailers
- As we mentioned the overturning of the Quill case is a major victory for main street merchants like you who have been laboring under a set of rules that put you at a competitive disadvantage.
- Where Congress failed to act, despite great efforts by retailers at the national level, the US Supreme court, led by Justice Kennedy took the bull by the horns and finally took action on this issue.
- This victory now levels the playing field for retailers and that is all we have ever asked for. Customer’s demand quality products and first rate customer services and we know that our members provide that. But, they never should have had to deal with a taxing system that gave the other side a big advantage.
- Now main street merchants don’t have to worry that a customer will come into the shop look around and leave without a sale and knowing in the back of their mind that they were going home to buy it online to avoid sales tax. Those days hopefully are over. And we could not be happier that they are.
Reaction from Washington and CT
- CRMA is fortunate to work with two GREAT retail trade associations in Washington who deal with Congress and the US Supreme Court.
- Those two groups the National Retail Federation and the Retail Industry Leaders Association have both been on the front lines of this issue.
- They both issued press releases following the decision and like us, they were extremely happy with the decision.
What’s next?
- The obvious question is now that the decision has been released what happens next?
- In CT, all eyes will look to our Department of Revenue Services for guidance on what next steps will take place. One key issue is that in the South Dakota case there is a threshold of $100,000.00 in sales that have to be meet before an online seller has to start to collect.
- As we go to press on this week’s FF, we are awaiting word from the DRS on what that means for CT as well as other issues of compliance.
- You can be sure we will keep you posted on what DRS says and will send you along any advisory notices that they develop.
Links to Live By
- Plenty of links to direct you to regarding this important story.
- As usual, Keith Phaneuf of the CT Mirror is all over the store. You can here to read that.
- WNPR has our reaction to the news as well. Go here to read more.
- Finally, if you would like to read the decision yourself, you can go here for that.
- I am sure it will make for good summer reading.
Look out for the Tuesday Ticket
- Finally, be on the look for our first edition the Tuesday Ticket.
- The Ticket will be our election newsletter that we hope will be able to provide you with all the information you will need about State Legislative races and all the big statewide races that will also be taking place this fall.