If you’re an online shopper in South Dakota, it’s time to start paying sales tax.
The state on Thursday will start requiring many out-of-state online retailers to collect South Dakota sales taxes under legislation approved earlier this year.
It came after a U.S. Supreme Court ruling in South Dakota’s favor opened the door for consumers to see sales tax on more online purchases from out-of-state companies.
Some retailers had been voluntarily remitting the taxes.
South Dakota’s obligation applies to outside sellers who do more than $100,000 of business in South Dakota or more than 200 transactions annually with residents.
The state announced Wednesday a settlement with three companies it sued in the case that brought the issue to the high court.
Online retailers Wayfair, Overstock and Newegg will start collecting January 1st.
