South Dakota Clashes With Online Retailers in Sales Tax Battle

In a legal battle that could influence existing federal tax policy, South Dakota is suing four big internet retailers to force them to comply with the state’s new remote seller sales tax law. On March 22, South Dakota Gov. Dennis Daugaard signed Senate Bill 106 into law. It requires out-of-state online retailers that sell a minimum of $100,000 or complete at least 200 separate sales transactions annually within South Dakota to register with the state and collect and remit sales tax.