On June 21, 2018, the Supreme Court of the United States held in South Dakota v. Wayfair, that sales by a seller of a certain number or value in a state are sufficient to establish a nexus between such state and seller for the imposition of state sales tax.
For state sales tax to apply in this situation, the relevant state must have a law that provides a clear threshold on when sales tax applies to an out of state seller. This holding overturns the previous rule that a seller must be physically present in a state to be subject to its sales tax. One issue that remains open is whether a seller could be subject to retroactive liability.
For more information see here.
This article was written with contributions by Tim Moore.