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Justices Won't Hear Appeal of NY Internet Taxation

The Supreme Court has refused to consider throwing out New York State's taxes on Internet purchases on websites like Amazon.com, a move that could change the way Internet commerce works.

The high court on Monday refused to hear appeals from Amazon.com LLC and Overstock.com Inc., in their fights against a state law that forces them to remit sales tax the same way in-state businesses do.

Web retailers generally have not had to charge sales taxes in states where they lack a store or some other physical presence. But New York and other states say that a retailer has a physical presence when it uses affiliates — people and businesses that refer customers to the retailer's website and collect a commission on sales.

Amazon and Overstock both use affiliate programs.

© 2013 AP

Dave Lucas is WAMC’s Capital Region Bureau Chief. Born and raised in Albany, he’s been involved in nearly every aspect of local radio since 1981. Before joining WAMC, Dave was a reporter and anchor at WGY in Schenectady. Prior to that he hosted talk shows on WYJB and WROW, including the 1999 series of overnight radio broadcasts tracking the JonBenet Ramsey murder case with a cast of callers and characters from all over the world via the internet. In 2012, Dave received a Communicator Award of Distinction for his WAMC news story "Fail: The NYS Flood Panel," which explores whether the damage from Hurricane Irene and Tropical Storm Lee could have been prevented or at least curbed. Dave began his radio career as a “morning personality” at WABY in Albany.