Amendments to New York State’s retail sales tax law aimed at requiring online retailers to collect state sales tax on purchases by New York residents is not facially unconstitutional, a New York appellate court ruled. The retailers challenged the applicability of the sales tax to sales made through their third-party affiliates who are located within the state. The court remanded for consideration of the retailers’ “as applied” challenges based upon the Commerce Clause, the Due Process Clause and the Equal Protection Clause.

Amazon.com, LLC v. New York State Department of Taxation and Finance, 2010 NY Slip Op 07823 (N.Y. Sup. Ct. App Div. 1st Dept. Nov. 4, 2010) Download Opinion