There’s been controversy over businesses collecting sales tax in states where they’re not physically located for decades.
National Bellas Hess was a mail-order company located in Missouri with no offices or facilities in Illinois. The company sued Illinois when the state tried to force it to collect sales tax. Illinois officials contended that National Bellas Hess, by doing business with Illinois residents, had a physical presence in the state and therefore should be forced to collect taxes on shipments to Illinois.
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