GradingMar 06, 2026
Tom Moses Leaving GIA After Nearly 50 YearsMoses, who started at GIA’s Santa Monica lab in 1976, will leave the Gemological Institute of America in May.
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
SourcingMar 06, 2026
Charles & Colvard Files for Bankruptcy, Citing Price PressuresIncreased competition, falling lab-grown diamond and moissanite prices, and the rising cost of gold took a toll on the moissanite maker.
CollectionsMar 06, 2026
Zome’s ‘Solara’ Earrings Embody Celestial BeautyThe earrings, our Piece of the Week, feature pink tourmalines as planets orbiting around an aquamarine center set in 18-karat rose gold.
Brought to you by
Is This You? Every Jeweler Has This Problem; We Have the Solution.Every jeweler faces the same challenge: helping customers protect what they love. Here’s the solution designed for today’s jewelry business.
MajorsMar 06, 2026
Pomellato’s 2026 IWD Campaign Spotlights Economic Abuse“The Price of Freedom” campaign video for International Women’s Day confronts the quiet violence of financial control.
Weekly QuizMar 05, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
CollectionsMar 05, 2026
Common Era Honors ‘Difficult Women’ in CollectionThe ever-growing collection, which just expanded with the addition of Olga of Kyiv, features cameos of 12 women from history.
TrendsMar 05, 2026
Engagement Ring Trends 2026: What’s In, and WhyWe asked a jewelry historian, designer, bridal director, and wedding expert what’s trending in engagement rings. Here’s what they said.
Brought to you by
DCA Enters a New Chapter in Jewelry EducationWith refreshed branding, a new website, updated courses, and a pathway for growth, DCA is dedicated to supporting retail staff development.
Events & AwardsMar 05, 2026
AGS Announces Conclave 2026 Speaker LineupThe annual event will be held in Orlando, Florida, from Sept. 14-17.
TrendsMar 05, 2026
Caitríona Balfe Fronts Only Natural Diamonds CoverThe “Outlander” star modeled for the digital cover of the magazine’s spring issue, which features a story on her relationship with jewelry.
MajorsMar 05, 2026
Registration Opens for CIBJO Centenary CongressThis year’s annual congress, which will mark the confederation’s 100th anniversary, will take place this fall in Italy.
MajorsMar 04, 2026
Michael M Opens First StoreBeverly Hills was chosen as the location for the brand’s first store, designed as a “private residence for modern monarchs.”
EditorsMar 04, 2026
Q&A: Brilliant Earth’s CEO on the New Beverly Hills StoreBeth Gerstein discusses the vibe of the new store, what customers want when fine jewelry shopping today, and the details of “Date Night.”
Events & AwardsMar 04, 2026
JIS Miami Spring Show to Feature New Gifts Pavilion, Pop-Up Trends TalksNearly half of buyers are prioritizing silver and fashion collections this season, organizers said.
TrendsMar 04, 2026
Spinelli Kilcollin Rides Free In Year of the Horse CampaignThe “Live Now. Polish Later.” campaign features equestrians wearing the brand’s jewels while galloping across the icy plains of Kazakhstan.
MajorsMar 04, 2026
LeachGarner Names New Brand DirectorThe precious metals provider has promoted Jennifer Ashworth to the role.
Events & AwardsMar 03, 2026
Johnny Nelson Wins David Yurman Gem Awards GrantNelson will be honored as the inaugural grant winner at the Gem Awards gala on March 13.
SourcingMar 03, 2026
7 Trends That Could Define the Diamond Industry’s FutureExperts from India weigh in the politics, policies, and market dynamics for diamantaires to monitor in 2026 and beyond.
MajorsMar 03, 2026
Swiss Refiner Completes Acquisition of Gannon & ScottThe American precious metals refiner’s day-to-day operations remain the same post-acquisition.
TrendsMar 03, 2026
Amanda’s Style File: AquatopiaThese aquamarine jewels channel the calming energy of the March birthstone.
Events & AwardsMar 03, 2026
AGTA Adds Another New Category for SpectrumThe “Innovative Design” category and award will debut in the Spectrum division of this year’s AGTA Spectrum & Cutting Edge Awards.
EditorsMar 02, 2026
Jewelry at the Actor Awards: Reimagining Hollywood GlamourDiamond jewelry was the star of the event formerly known as the SAG Awards.
SurveysMar 02, 2026
Consumer Confidence Edges Up in FebruaryConsumers were somewhat less worried about the future, though concerns about rising prices and politics remained.
Events & AwardsMar 02, 2026
JVC to Honor Rebecca Foerster at Annual LuncheonFoerster is this year’s Stanley Schechter Award recipient.
Events & AwardsMar 02, 2026
JFC Names 2026 ‘Facets’ Honorees Sponsorships and tickets to the annual fundraising event, set for May 31, are available now.
CrimeFeb 27, 2026
Man Charged in Murders of Father, Son Jewelers in ChicagoChicago police and members of the U.S. Marshals Service tracked down the 35-year-old suspect earlier this week in St. Louis.
SourcingFeb 27, 2026
South African Diamond Mine Closes Amid Search for Missing WorkersOwners of the Ekapa Mine reportedly filed for liquidation about a week after a mudslide trapped five workers who have yet to be found.
