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By SHARON KILPATRICK
Rappahannock News Staff Writer
For Rappahannock’s two mail order houses a U.S. Supreme Court decision last week was welcome news indeed.
In a case involving the state of North Dakota and a business supply catalog business in Nebraska, the ^ 'Suprente*'Cotirt rtflM 8 to«* 4ln* states could not require mail order companies in other states to collect their sales taxes. The court did leave the door open for Congress to pass legislation on sales taxes and direct marketers.
Martin Woodward of the Faith Mountain Company said, “This decision is the best thing that could happen to the catalog industry.” He noted that not only are there 50 states wanting to have mail order companies collect sales taxes, but also some jurisdictions within these states want their taxes collected. He said that there are about 6,500 taxing jurisdictions all hoping to collect taxes from mail order companies.
He said he expected legislation to be introduced in Congress. “The good news is we will not be liable for state sales tax in the immediate future,” Mr. Woodward said. “This takes it out of the legal arena and puts it into the political arena, where the direct marketers will get to tell their side of the story. ”
Mr. Woodward said he hopes when the issue is finally resolved,
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