Retailers Hope Supreme Court Will Restore Market Competition

Today the United States Supreme Court will hear oral arguments in South Dakota v. Wayfair, a case that could finally end the special treatment afforded many online retailers. Brian Dodge, Senior Executive Vice President for Public Affairs with The Retail Industry Leaders Association (RILA) said retailers are hopeful that the Court will acknowledge the dramatic changes in technology and commerce over the past twenty years and issue a decision that paves the way for states to require all retailers play by the same rules and collect sales taxes.  

“Retailers have long supported closing the legal loophole that has given giant online sellers a distinct competitive advantage over local brick and mortar stores. A level playing field will give every retailer the opportunity to compete for customers in a true free market, without the government’s thumb on the scale.” 

“The arguments made by proponents of the status quo that collecting sales tax is too complicated and laborious are patently ridiculous. Many of these same companies use micro-targeting data to narrowly market to unique sets of consumers and calculate shipping costs based on an array of factors, such as distance, weight and fragility. The same advances in technology that have simplified these tasks have also radically simplified collecting and remitting sales tax. Not only does this technology exist today, but is used by countless retailers to collect and remit sales tax nationwide. The time has come to require all companies to play by the same rules.” 

“Main Street retailers deserve a level playing field upon which to compete and the case today before the U.S. Supreme Court may finally get us there.” 
 

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RILA is the trade association of the world’s largest and most innovative retail companies. RILA members include more than 200 retailers, product manufacturers, and service suppliers, which together account for more than $1.5 trillion in annual sales, millions of American jobs, and more than 100,000 stores, manufacturing facilities, and distribution centers domestically and abroad. 

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