The Supreme Court says states can force online shoppers to pay sales tax.
The 5-4 ruling Thursday is a win for states, who said they were losing out on billions of dollars annually under two decades-old Supreme Court decisions that impacted online sales tax collection.
The high court ruled Thursday to overturn those decisions. They had resulted in some companies not collecting sales tax on every online purchase.
Governor Pete Ricketts issued a statement following a ruling by the Supreme Court of the United States eliminating exemptions for online retailers from the enforcement of state sales tax laws.
“Any increased revenue attributable to total enforcement of our sales tax laws must be steered towards property tax relief. We are analyzing what the decision means for Nebraska.”
The cases the court overturned said that if a business was shipping a product to a state where it didn’t have a physical presence such as a warehouse or office, it didn’t have to collect the state’s sales tax.
Customers were generally supposed to pay the tax to the state themselves if they don’t get charged it, but the vast majority didn’t.