Thank Justice Kennedy as Web Retailers, States Spar Over Sales Tax

Stephen Kranz singled out Alabama and South Dakota lawsuits as “part of a developing trend where states will be attacking” the physical presence standard for sales tax collection set by the Supreme Court in Quill, “all because of states’ frustration with Congress’ failure to act on the issue.” Mr. Kranz predicted that Quill “either will get overturned through the judiciary or states will make it so painful that Congress steps in to address it in a rational manner.”