Amazon Sales Tax Argument Fails at South Carolina Appeals Court

Amazon Services LLC is responsible for more than $12.5 million in taxes, penalties, and interest on third-party marketplace sales in South Carolina, a state appeals court ruled Wednesday.

“Amazon Services was engaged in the business of selling tangible personal property at retail and was therefore responsible for collecting and remitting sales tax on sales of tangible personal property owned by third parties occurring on the Marketplace,” South Carolina Court of Appeals Judge Jerry D. Vinson Jr. wrote for the unanimous court.

The e-commerce giant appealed a 2019 administrative law judge’s ruling that it owed taxes on third-party marketplace sales for ...