Amazon tax thrown out in Illinois

Cnet

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Two Takes Default

Is this a one-off incident or will the dominoes soon fall in Amazon’s favor?

The Illinois Supreme Court struck down a state law Friday that required online retailers, like Amazon, to collect sales tax if they have in-state Web affiliates, according to Associated Press.

The court decided the law violated federal rules, which prohibits putting a discriminatory tax on digital sales. It’s the first time a high court has thrown out a law like this — 18 other states have similar laws. In New York, the court upheld the law, spurring Amazon and Overstock.com to petition the Supreme Court.

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