Based on a Supreme Court ruling, Internet-based merchants need to charge sales tax only when _____.
A) the sale price exceeds $100.00
B) buyers live in a state where the merchant has physical facilities
C) buyers purchase certain enumerated items
D) items are purchased through a C2C Web site

Question

Quizplus · Accepted Answer

The Supreme Court ruling in South Dakota v. Wayfair, Inc. (2018) allows states to require internet-based merchants to charge sales tax only if they have a "substantial nexus" in the state, meaning physical facilities such as warehouses or stores. Therefore, choice B is the correct answer.

Based on a Supreme Court Ruling, Internet-Based Merchants Need to Charge