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The Florida Retail Federation, which has long tried without success to get the Legislature to address the issue, hailed Thursday's decision.

And for local brick and mortar stores, the ruling represents a level playing field. State Representative Tim Brown (R-Crawfordsville) said only about one percent of people in IN actually paid an online sales tax a year ago. In a press release, Governor Pete Ricketts said he would like to see the money used for property tax relief.

Only five states do not collect a statewide sales tax. They often don't have the resources to handle the patchwork of sales taxes across multiple states, according to the retailers, while larger outlets like Amazon don't have that problem. The decision reversed a 1992 court decision that held that online retailers could only be required to collect and remit sales taxes if they had stores or some other "nexus" in states. The ruling could easily improve revenue in states that have taken a hit from online sales.

"If sales tax was the only barrier keeping them from shopping local and then throw in you might to have pay shipping fee if you shop online, I think it's encouraging for local businesses", Wilson said.

The court held that its prior "physical presence rule" was "unsound and incorrect" and so prior decisions from 1967 and 1992 were both overruled.

Currently, online retailers that have a physical location in Georgia have to collect sales tax when Georgia shoppers use their websites.

The potential implications for IN and other states equate to millions of dollars IN tax revenue. The Supreme Court decision clears the way for states to unwind that competitive advantage.

He said the ruling was "good news, but it's not a windfall". "It automatically made the playing field unlevel for those entities that are here in the state doing business and participating in our community".

Otto said that Congress or state legislatures now need to set the threshold at which online retailers must collect taxes.

Will people be turned off online shopping by a sales tax?

"We are a state, we're most famous for having one of the most complicated and quite frankly, screwed up sales tax systems in the United States", McCarthy said.