Wisconsin Court Orders StubHub to Pay State $17.1 Million

A recent ruling from the Wisconsin Court of Appeals has significant implications for the ticket resale industry. The court determined that StubHub must pay $17.1 million to the state of Wisconsin.

StubHub’s Financial Obligations to Wisconsin

This sum encompasses back taxes, interest, penalties, and fees accrued from ticket sales conducted between 2008 and 2013. The court’s ruling classifies StubHub as an “active seller of admission tickets,” which requires compliance with Wisconsin’s tax regulations.

Details of the Court’s Decision

• The Wisconsin Court of Appeals ruled in favor of the state regarding StubHub’s tax obligations.
• StubHub ignored guidelines outlined in Wisconsin’s tax bulletins pertaining to ticket brokers.
• As a result, the company is liable for failing to file state tax returns during the specified period.

During the five years in question, StubHub facilitated the resale of approximately $154 million in tickets within Wisconsin. This substantial volume underscores the platform’s impact on the local economy and the importance of compliance with state tax laws.

Conclusion

This ruling serves as a reminder to ticket resellers to adhere to local tax requirements. With the court’s decision, StubHub is now faced with significant financial repercussions that reflect the importance of regulatory compliance in the ticket resale market.