University of Arizona Law’s John Swain, the Chester H. Smith Professor of Law, was interviewed by CNBC regarding South Carolina’s complaint against Amazon. The state alleges Amazon failed to collect $12.5 million in taxes on sales made by third-party merchants to South Carolina residents.
Should South Carolina succeed, other states may follow suit, although varying state laws make it a complex issue.
"It's an issue that state taxing authorities are going to pursue vigorously if they feel they have authority under their statute to do so," said Swain. "But it's very difficult to generalize."