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Online retailers filed suit

The court's ruling came in a case filed by three online retailers  Wayfair, Newegg and Overstock  challenging a South Dakota law requiring many retailers to pay state sales taxes if their sales reached a specific threshold. 

South Dakota, like many other states that have attempted to collect taxes for online sales, have argued that the situation benefited online retailers at the expense of traditional and even in-state online retailers and deprived local government of revenues.

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