Tuesday, August 25, 2009

Mass. Supreme Court rebuffs cross-border tax grab

The Manchester Union Leader reports:
Massachusetts' highest court has ruled the state has no right to collect taxes from a retail chain that sold tires to Massachusetts residents in New Hampshire.

Massachusetts authorities said their case was narrowly focused, but others saw broader implications. Massachusetts recently raised its sales tax; New Hampshire has none.

The state Department of Revenue tried to collect about $109,000 in taxes from Connecticut-based Town Fair Tire Centers after a records examination found 313 invoices in the New Hampshire stores listed Massachusetts addresses for buyers.
You'll want to read the whole article. This is a rather big issue, high taxes places just can't compete against a better deal.