After attending the oral arguments at the U.S. Supreme Court in South Dakota v. Wayfair, Inc., U.S. Senator Mike Enzi, R-Wyo., once again called on the court to overturn its previous ruling which barred states from collecting sales and use tax from remote sellers, such as out-of-state businesses and online retailers.
Enzi said the 1992 decision in Quill Corp v. North Dakota not only costs state and local governments significant revenue that they are owed, but also puts many main street retailers at a disadvantage by requiring them to collect a tax that online and out-of-state businesses do not.
“This issue is about fairness for states and local businesses,” Enzi said. “Because of the court’s decision 26 years ago, states are unable to enforce their own laws and brick-and-mortar businesses are being punished through no fault of their own. It’s time for the court to modernize our tax law for the 21st century by allowing states to collect the taxes they are owed and letting businesses compete on a level playing field. Sales tax is used by particularly small towns to fix their infrastructure so they have streets that work and toilets that flush.”
Enzi joined U.S. Senators Heidi Heitkamp, D-N.D., Dick Durbin, D- Ill., and Lamar Alexander, R-Tenn., in March to submit an amicus brief in South Dakota v. Wayfair, Inc., – also called a “friend of the court” brief – urging the Court to overturn it’s previous ruling in Quill.