Supreme Court sales-tax ruling could mean $200M for Illinois

Updated 6/21/2018 2:26 PM

SPRINGFIELD, Ill. -- Officials say that a U.S. Supreme Court ruling that retailers must collect sales tax from buyers in other states could mean more than $200 million a year to Illinois.

The high court on Thursday overturned a 1992 ruling that a retailer must have a physical presence in a state to collect tax from buyers in that state. The court found the standard doesn't jibe with current-day online retailing.


Illinois Department of Revenue Director Connie Beard says in a statement, "To be clear, this is not a new tax." Residents are currently obligated to pay a use tax on out-of-state online purchases. She says the court decision will "level the playing field for Illinois brick-and-mortar retailers."

The tax is 6.25 percent. Local governments will get the share they're already allotted.

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