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Selling distinguished from advertising

Tuesday, November 13, 2007

Selling distinguished from advertising

The distribution of discount coupons by a brick-and-mortar company (Booksellers, a subsidiary of Barnes and Noble, Inc.) in its shopping bags for an online purchase from its sister company, an Internet retailer (bn.com), did not create nexus sufficient to impose California use tax registration, collection, and remittance obligations on bn.com. (Barnesandnoble.com LLC v. State Board of Equalization (October 12, 2007) Super Ct. S.F. County No. CGC-06-456465)

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