Foreign Sellers Likely to Comply With ‘Wayfair'-Inspired Tax Laws

Initial fears that foreign-based retailers would forgo state tax compliance duties under the U.S. Supreme Court ruling in South Dakota v. Wayfair now appear overblown, practitioners and tax policy analysts told Bloomberg Tax.

Several themes have emerged in the year following the Supreme Court’s landmark ruling suggesting most overseas sellers will eventually move toward compliance with Wayfair-inspired state sales and use tax laws:

• Awareness of state remote seller and marketplace facilitator statutes is growing.
• States have a variety of last-resort enforcement mechanisms at their disposal.
• Overseas retailers that rely on marketplace platforms to sell their products—a rapidly growing segment ...