In Chapter 1, case 1.2, South Dalota v. Wayfair (2018),t he state of South Dakota tried to adjust to tax revenue lost because consumers were buying goods online. Historically, sales tax is paid when a good is bought within state borders. States lose tax income (revenue) when they canot collect sales tax when a purchase is made within state borders but online - and perhaps from an out of state business.

South Dakota passeda law to tax citizens for purchases from out-of-state sellers and required the sellers to remit (give) the tax collected to the state. Sellers did not like the law and fought back.The case goes all the way to the US Supreme Court.

Two sides need to be balanced here - the rights of states and the rightsof sellers all in a changing marketplace from brick and mortar (irl) and e-commerce.

Please answer the following two questions:

Write one sentence that describes why a state might pass a law to collect its sales tax from online sellers.

Write one more sentence to describe why an online seller might not want to collect sales tax and pass it back to a state.