South Dakota v. Wayfair Archives - Bewley, Lassleben & Miller, LLP

California Department of Tax and Fee Administration Finally Initiates Formal Regulatory Process for Proposed Revisions to Regulation 1684.5, Marketplace Sales

In the aftermath of the decision in South Dakota v. Wayfair, Inc. (2018) 138 S.Ct. 2080 (“Wayfair”), states across the country have implemented new rules and regulations regarding the collection of use tax from out-of-state taxpayers that sell tangible personal property using the internet.

Wayfair Strikes Again…Out of State Retailers Beware

According to a recently issued controversial Technical Advice Memorandum (“TAM”) issued by the Franchise Tax Board (“FTB”) the United States Supreme Court decision in South Dakota v. Wayfair, Inc., may have gutted the “mere solicitation” taxpayer protection under Public Law 86-272 (“PL 86-272”).

Noteworthy 2018 Sales and Use Tax Cases

There were a few sales and use tax cases decided last year that are notable. The primary case is the United States Supreme Court’s landmark decision in South Dakota v. Wayfair, Inc. (2018) 138 S.Ct. 2080, which overturned the longstanding physical presence rule necessary to require an out-of-state retailer to collect use tax on sales made into a state.