The Supreme Court ruling on online sales tax could be a win for Nevada but perhaps a loss for its consumer base.
According to the department of Taxation, Nevada could see an additional $30 million in annual taxes & schools could see an additional $36.5 million each year. Major online retailers like Amazon already pay sales tax on their transactions, but retailers without property in Nevada, like Overstock and NewEgg, do not often contribute sales taxes on purchases made in the state.
The goal is to ensure that Nevada’s small businesses are on equal footing with online retailers, meaning that consumers in brick-and-mortar stores should not be condemned to pay increased sales taxes on their products if their online counterparts do not.
The worry lies within the administrative burdens this ruling could put on small businesses that sell both online and in store; expecting small businesses to know about all different tax rates for different states and municipalities (ex. a Nevada merchant selling to a consumer in San Francisco online) would be near impossible.
With an increasingly complicated list of rules and legislations to abide by, enlisting a boutique law firm like Sgro & Roger can ensure that you are running a legally sound business. The law is constantly changing; for a free consultation, please call Sgro & Roger.
We will take care of the legal side of things so that you can focus on running your business.