A travel services company failed to convince the Wisconsin Supreme Court to review a ruling that sales in-state travel agents made through the company’s online platform created corporate income tax liability.
Florida-based ASAP Cruises Inc. argued that it was shielded from state tax by Public Law 86-272—the federal law that prohibits states from imposing income taxes on out-of-state businesses that only solicit sales of tangible personal property in the state. The state revenue department responded that PL 86-272 only protects companies that solicit orders for tangible property, not services like the ones ASAP provides through Wisconsin-based independent travel consultants. ...