Preview: South Dakota Sales Tax Appeal

Apr 15, 2018

Credit Art Sign Works

South Dakota Attorney General Marty Jackley is going before the United States Supreme Court on Tuesday, April 17, to argue in favor of online sales tax collection and remittance. The case is titled South Dakota v. Wayfair, Inc.

The state passed a law in 2016 requiring out-of-state vendors to collect taxes on sales to South Dakota customers. But South Dakota's law was deemed unconstitutional by state courts, based on a 1992 U.S. Supreme Court opinion in Quill Corporation v. North Dakota.

The Quill opinion holds that Congress is the only entity constitutionally empowered to regulate commerce among the states. Absent congressional action, states can't impose tax collection duties on other states.

Now South Dakota is asking the high court to reconsider its Quill decision.

SDPB's Victoria Wicks has followed this case since it was argued before the South Dakota Supreme Court last August.

To read Mark Walsh's Scotusblog argument preview, click on this link:

Oral argument audio and transcript, as well as the opinion in Quill Corporation v. North Dakota can be found here: