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A milestone decision by U.S. lawmakers could soon force Canadian online retailers to pay sales taxes on products sold into the U.S., part of a long-awaited ruling that will have a ripple effect across Canada’s e-commerce sector.

“It’s not just internet giants getting wrapped up in this,” said Noreen Marchand, a partner with KPMG in Toronto.

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The U.S. Supreme Court ruled on Thursday that states have the right to collect sales taxes on products sold by out-of-state vendors, a decision that attempts to put e-commerce firms on a level playing field with competitors. It effectively closes a loophole that allowed online retailers with no physical presence in a given state to avoid paying sales taxes.

Maureen Atkinson, senior partner at J.C. Williams Group, said Frank And Oak, Lululemon Athletica Inc., and Aldo Group could be among the companies impacted by the changes, due to their sizeable positions in the U.S.