U.S. Supreme Court Holds DMA's Action Is Not Barred By Tax Injunction Act

The U.S. Supreme Court unanimously held that the Tax Injunction Act does not bar Direct Marketing Association's federal court challenge to Colorado's sales and use tax notice and reporting requirements. In 2010, Colorado enacted a sales and use tax notice and reporting statute, and promulgated regulations that apply the law, to require noncollecting retailers to notify any Colorado customer about the state's use tax requirement and to report tax-related information to those customers and the Colorado Department of Revenue .

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