Supreme Court sales tax ruling could be commercial windfall
NEW YORK – June 25, 2018 – Commercial real estate practitioners stand to benefit from a Supreme Court ruling Thursday that gives Florida and other states the authority to make online retailers collect sales tax.
The decision, stemming from online retailer Wayfair Inc.’s lawsuit against South Dakota over such a state law, potentially erases internet sellers’ advantage over brick-and-mortar stores, which are legally required to charge sales tax to customers. If shoppers prefer driving to the mall, the may start to do so again since online retailers have lost their tax advantage. As a result, both conventional and online retailers may put more stock in physical spaces, lending more business opportunities to commercial agents.