SurveysJul 01, 2026
Consumer Confidence Ticks Up in JuneFalling oil prices were a factor in the slight month-over-month improvement.
Policies & IssuesJan 17, 2018
Supreme Court Agrees to Hear Online Sales Tax Case
The high court has agreed to take up a petition to reconsider Quill, the 1992 ruling that governs how internet sales tax is collected today.
The U.S. Supreme Court agreed Friday to hear South Dakota v. Wayfair Inc., which requires it to revisit the 1992 decision that currently governs the collection of sales tax for merchandise sold online.
Washington--The U.S. Supreme Court has agreed to take up a petition to reconsider Quill, the 1992 ruling that governs how taxes from online sales are collected today.
The justices announced their decision to take up the case of internet sales tax on Friday, the SCOTUS blog shows.
Officially filed as South Dakota v. Wayfair Inc., the case for internet sales tax “fairness,” as it is known among proponents, made its way to the highest court in the land via South Dakota.
In 2016, legislators in the Midwestern state passed a law requiring companies that make more than $100,000 in sales or have more than 200 transactions per calendar year remit sales tax, whether they have a physical presence in South Dakota or not.
Legislators argued the state is missing out on millions in revenue from online sales and that it’s time to revisit Quill, the nearly-26-year-old decision that prohibits states from imposing sales tax requirements on vendors with no physical presence there.
Online retailers NewEgg, Wayfair and Overstock.com challenged the law in the state’s Supreme Court and won, with the court stating in its decision, “However persuasive the state’s arguments on the merits of revisiting the issue, Quill has not been overruled. Quill remains the controlling precedent on the issue of Commerce Clause limitations on interstate collection of sales and use taxes.”
In October, South Dakota Attorney General Marty J. Jackley petitioned the U.S. Supreme Court to take up the case, which it agreed to Friday.
The court is expected to hear oral arguments in April, with a decision expected by late June.
The lack of sales tax collection on online purchases is an important issue for brick-and-mortar retailers, particularly those who depend on high-dollar sales like jewelers.
Jewelers of America has been fighting on behalf of its members for changes to the legislation governing online sales tax collection for a decade and was one of 10 retail trade associations that filed an amicus brief with the Supreme Court in support of South Dakota’s petition.
JA President and CEO David J. Bonaparte called Friday’s decision a “major milestone” in the association’s long-standing fight to “level the playing field” between online and brick-and-mortar retailers.
“Now that the court has agreed to hear the case, we are optimistic that it will recognize that Quill does not reflect the retail landscape that exists today,” he said.
But Overstock.com, the only retailer of the three involved in the case that sells jewelry, sees it differently.
In a statement issued Friday, the online retailer said it is confident the high court will uphold Quill.
“States do not have the power to conscript individuals or organizations that do not have a physical presence within their state to do the state’s job of collecting sales tax,” said Jonathan Johnson, a member of Overstock.com’s board of directors. “It’s a straightforward notion. And disregard for the precedent would have severe consequences for businesses and individuals.”
He added that even if the Supreme Court decides to overturn Quill, Congress would still need to intercede in order to change federal law.
While that is true, Chris Fetzer of Haake Fetzer, the firm that lobbies on behalf of JA in Washington, said what can be expected if the Supreme Court rules to overturn Quill is states that have not already done so will move to pass laws to require retailers to collect and remit sales and use taxes, regardless of whether or not they have a physical presence in the state.
“Quill,” he observed, “would no longer be the law of the land.”
Congressional action wouldn’t be necessary in that case, but Congress would still have a role because only it can pass a federal framework for sales and use tax collection. Otherwise, Fetzer said, retailers would be required to adhere to a patchwork framework on a state-by-state basis of potentially disparate laws.
It is also worth noting that Rep. Bob Goodlatte (R-Va.), chairman of the House Judiciary Committee and a longtime opponent of online sales tax legislation, announced in November that he will not seek re-election, and so he will not be in Congress anymore come January 2019.
“States do not have the power to conscript individuals or organizations that do not have a physical presence within their state to do the state’s job of collecting sales tax,” said Jonathan Johnson, a member of Overstock.com’s board of directors. “It’s a straightforward notion. And disregard for the precedent would have severe consequences for businesses and individuals.”
He added that even if the Supreme Court decides to overturn Quill, Congress would still need to intercede in order to change federal law.
While that is true, Chris Fetzer of Haake Fetzer, the firm that lobbies on behalf of JA in Washington, said what can be expected if the Supreme Court rules to overturn Quill is states that have not already done so will move to pass laws to require retailers to collect and remit sales and use taxes, regardless of whether or not they have a physical presence in the state.
“Quill,” he observed, “would no longer be the law of the land.”
Congressional action wouldn’t be necessary in that case, but Congress would still have a role because only it can pass a federal framework for sales and use tax collection. Otherwise, Fetzer said, retailers would be required to adhere to a patchwork framework on a state-by-state basis of potentially disparate laws.
It is also worth noting that Rep. Bob Goodlatte (R-Va.), chairman of the House Judiciary Committee and a longtime opponent of online sales tax legislation, announced in November that he will not seek re-election, and so he will not be in Congress anymore come January 2019.
More on Policies & Issues
The Latest
CollectionsJul 01, 2026
Rio Grande Launches First Finished Bridal CollectionThe new offering comprises more than 120 bridal and engagement ring styles with natural and lab-grown diamonds.
WatchesJul 01, 2026
Rolex Unveils Clock at Rockefeller CenterThe clock is part of the celebration for the soon-to-open Rolex headquarters on New York City’s Fifth Avenue.
Brought to you by
Wedding Band Trends 2026: Personalization Takes Center StageColored gemstones, artisan finishes, mixed metals, and meaningful details are shaping demand in bridal jewelry.
IndependentsJul 01, 2026
Kristen Cannon of Valobra Master Jewelers Dies at 49The public relations professional is remembered for her benevolent generosity and unwavering commitment to those around her.
Weekly QuizJun 25, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
WatchesJun 30, 2026
Pokémon Fans Will Want to Catch This New G-Shock WatchThe new watch commemorates Pokémon’s 30th anniversary.
MajorsJun 30, 2026
Saks Global Emerges From Bankruptcy With New NameThe luxury retailer is now called Exemplar Luxury Group.
Brought to you by
Building the Future of Jewelry Retail: DCA Expands Education, Leadership Development, and Workforce SolutionsDCA is preparing the next generation of professionals by supporting workforce development, leadership growth, and career advancement.
CollectionsJun 30, 2026
Jade Ruzzo’s New Collection Embodies the Art of Being a LadyThe “Lady” collection is a new take on old beauty standards with gemstone-adorned hair pins and combs, a compact mirror necklace, and more.
SourcingJun 30, 2026
Blue Nile Introduces Montana Sapphire CollectionThe new line is included in the e-tailer’s curation of jewelry celebrating America’s 250th anniversary.
GradingJun 30, 2026
AGS Opens 2026 Recertification ExamAll active members who earned their credential or designation before Dec. 1, 2025, are required to recertify.
CollectionsJun 29, 2026
Briony Raymond’s New Collection Is a ‘Carousel’ of Hard StonesThe new jewelry collection uses a colorful palette of onyx, malachite, tiger’s eye, mother-of-pearl, lapis, turquoise, and coral.
IndependentsJun 29, 2026
Look Inside Lee Michaels’ Revamped Mississippi FlagshipLee Michaels Fine Jewelry is celebrating 30 years in the Ridgeland, Mississippi community.
GradingJun 29, 2026
National Rarities Announces New Gemology ManagerSean Milliner has joined the company.
GradingJun 29, 2026
GIA to Open New London CampusClasses will begin in August at GIA’s new Canary Wharf location.
AuctionsJun 26, 2026
‘Hogback’ Diamond Ring Finds a New Home A ring set with “hogback” diamonds, an early stone cut dating to around the 16th century, sold for more than $20,000 at a U.K. auction.
CollectionsJun 26, 2026
Strength Is Sharpened Into Beauty in Kris Averi’s ‘Prism Thorn’ RingThe rainbow version of the ring, our Piece of the Week, features angel-cut, octahedral lab-grown sapphires designed to be worn as armor.
MajorsJun 26, 2026
Rembrandt Charms Debuts ‘Charms That Give Back’The new initiative donates a portion of the proceeds from select charms to charitable causes.
TrendsJun 26, 2026
Bernard James Celebrates Knicks’ Win with RingThe Brooklyn-based jeweler created a limited-edition version of its “Aura” eternity band, set with gemstones in the team’s colors.
SourcingJun 25, 2026
ICA Names Brandee Dallow as CEODallow will lead the International Colored Gemstone Association, effective July 6.
EditorsJun 25, 2026
Out & About: How Jewelers Mutual, SCAD Are Tackling the Bench Jeweler ShortageSenior Editor Lenore Fedow headed to Savannah to learn more about the 10-year, $10 million partnership between JM and the art school.
CollectionsJun 25, 2026
Mejuri Experiments With SteelIts new capsule jewelry collection features gold-finished stainless steel pieces designed for a maximalist look without a luxury price tag.
Events & AwardsJun 25, 2026
Watches & Wonders Announces 2027 DatesThe week-long event in Geneva is slated for April 2027.
SourcingJun 25, 2026
Annie Doresca, Mark Smelzer, Sara Yood Join Gem Legacy BoardThe three industry leaders bring financial, communications, and legal expertise to the nonprofit’s board of directors.
ColumnistsJun 24, 2026
The Revenue Hiding Between Your Counter and Your Online CartJewelers are missing out by not offering this one key add-on at the online point of sale, Emmanuel Raheb writes.
CollectionsJun 24, 2026
Greenwich St. Jewelers, Jewel Boxing’s Latest Drop Is On-TrendThe fourth collaborative collection from the retailer and jewelry content creator focuses on gemstone charms and strands of colorful beads.
Events & AwardsJun 24, 2026
AGTA Accepting Entries for Spectrum 2026This year’s AGTA Spectrum & Cutting Edge Awards will feature two new categories.
