Highsnobiety
Double Tap to Zoom

Online shopping will become more expensive soon, as the U.S. Supreme court ruled Thursday that states can enforce internet retailers to collect sales taxes, even if they don't have a physical presence in the state, reports CNN Money.

The 5-4 decision was a victory for South Dakota, which had asked the court to uphold its recently passed law imposing an internet sales tax, and it broke with 50 years' worth of legal rulings that barred states from imposing sales taxes on most purchases their residents make from out-of-state retailers like Wayfair, which brought the suit.

The court, in a ruling authored by Justice Anthony Kennedy, revived a 2016 South Dakota law that required larger out-of-state e-commerce companies to collect sales tax, a mandate that the online retailers fought in court.

Other large online retailers like Amazon and Wal-Mart, already collect sales taxes due to their large physical presence in each state to qualify as taxable by states, however, many smaller players, such as Overstock.com and Wayfair, don't have enough widespread operations to be subject to state taxing authority, giving them a price advantage over traditional brick and mortar businesses.

According to the General Accountability Office, prohibitions against collecting sales taxes from online retailers cost states as much as $13.4 billion last year.

For the full story, head on over to CNN Money.

We Recommend
  • Cactus Jack Presents: Abloh Invitational, Sponsored By Supreme (EXCLUSIVE)
    • Culture
  • Take 40% off Apparel & Sneakers in the Nike Sale
    • Style
  • Supreme Takes Nike's Craziest Clog for a Ride
    • Sneakers
  • Tyler, The Creator for Supreme? Finally
    • Style
  • Supreme's New Owner Changes Nothing — Yet
    • Style
What To Read Next
  • As Techy as Ever, ASICS' 2010s Running Shoe Grows in Beauty
    • Sneakers
  • Needles Brings The Elevated Workwear, NOMA t.d. Brings The Artisanal Craft
    • Style
  • An adidas Samba Sneaker Dressy Enough for a Black-Tie Event
    • Sneakers
  • Take It or Leave It: What Highsnobs Are Bringing Into 2025 (& Leaving Behind)
    • Style
  • Nike Finally Unleashes a Gorgeous & Once-Super-Exclusive Jordan 1 Sneaker
    • Sneakers
  • The Extreme Craftsmanship of a Swiss Watch In a GORE-TEX Boot
    • Footwear