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Judge Blocks Colorado Law Affecting Online Retailers

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(credit: CBS)

(credit: CBS)

DENVER (AP) – A federal judge has granted a request to block a Colorado law affecting larger out-of-state, online retailers.

The law would require such retailers who don’t collect state sales tax to send their customers an annual notice of how much tax the customers owe to Colorado. It also requires retailers to provide the state with a list of customers who spend more than $500 in a year with the retailer.

The Direct Marketing Association had sought a preliminary injunction to block the law while the group challenges it in court. The association and the state disagree over whether the law discriminates against interstate commerce.

U.S. District Judge Robert Blackburn on Wednesday granted the request for a preliminary injunction.

(© Copyright 2011 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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