Amazon Tax

[Snaggletooth]

What is the latest on the never-ending saga of New York (and others) versus Amazon.com?

I have just heard that Connecticut had to knuckle under. Also wondering how California stands. Every state is going to go to the well if the floodgates ever open.

[Y2KEA]

CA put this into law with the budget they just passed. Amazon & others with a qualfied "nexxus" must soon collect & remit sales taxes. Amazon has responded by saying they will cancel all their CA click through agents. Many CA agents have said they will go out of business or relocate out of state.

[Lion]

Ct

From CT's overview of 2011 tax laws:

Remote Affiliates: Expands Connecticut law to provide that an out-of-state retailer will have nexus with Connecticut based on certain arrangements with remote affiliates located in Connecticut.

[veritas]

All affiliartes in California

have been sent termination letters from Amazon. Many will leave the state maybe the country.

[S T]

Calif

Calif does not embrace business or new businesses - they always chase them away to another State

This has been going on for years!

Sandy

[veritas]

Kindle is

assembled in California. I expect they will move that also.

Indiana has chosen not to impose tax in their state. Amazon is now buliding a third distribution center there.

[veritas]

I'm wondering

Calif does not embrace business or new businesses - they always chase them away to another State

This has been going on for years!

Sandy

how California's fact finding trip to Texas went. Did they get any tips on how to attract business and keep others from moving?

[erchess]

Modest Proposal

How about a Federal law to the effect that state sales tax does not apply to internet telephone or mail order sales unless the buyer and the ship to address are in the same state. That would eventually lead to a Federal sales tax on these purchases but it would be easy for the seller to collect and remit. It would also in time lead to greater uniformity in sales and other taxes across the country.

[taxea]

CA put this into law with the budget they just passed. Amazon & others with a qualfied "nexxus" must soon collect & remit sales taxes. Amazon has responded by saying they will cancel all their CA click through agents. Many CA agents have said they will go out of business or relocate out of state.

Amazon has dropped its CA businesses. They dropped Hawaii businesses last year at just the knowledge that HI was considering a similar law. Amazon has and will drop businesses in each state that enacts this law. I don't think the states are thinking this through. They expect they will receive that tax from sales through Amazon without considering that they will get no tax because Amazon will no longer use businesses in the states that enact this law and the businesses will likely fold from lack of sales through Amazon that kept them going.

Ask me, the states are bitting off their nose to spite their face.

[erchess]

I hope my state passes

a law like this and I hope eventually either every state does or we get a Federal sales tax so that no purchases are exempt from it. Amazon won't go out of business over being forced to charge sales tax.

[David1980]

How about a Federal law to the effect that state sales tax does not apply to internet telephone or mail order sales unless the buyer and the ship to address are in the same state. That would eventually lead to a Federal sales tax on these purchases but it would be easy for the seller to collect and remit. It would also in time lead to greater uniformity in sales and other taxes across the country.

I don't see a federal sales tax eliminating state and local level sales taxes anymore than a federal income tax eliminates state and local income taxes.

[taxxcpa]

Read my lips--no new taxes

I don't see a federal sales tax eliminating state and local level sales taxes anymore than a federal income tax eliminates state and local income taxes.

Every time a new tax is enacted, it is the ultimate solution to all problems--until the next tax is added.

Tax his cow, Tax his goat;
Tax his pants, Tax his coat;
Tax his crop, Tax his work;
Tax his ties, Tax his shirt;
Tax his chew, Tax his smoke
Teach him taxing is no joke.
Tax his tractor, Tax his mule;
Tell him, Taxing is the rule.
Tax his oil, Tax his gas
Tax his notes, Tax his cash
Tax him good and let him know,
That after taxes, he has no dough.
If he hollers, Tax him more;
Tax him till he's good and sore.
Tax his coffin, Tax his grave,
Tax his sod in which he's laid.
Put these words upon his tomb,
"Taxes drove him to his doom."
After he's gone, we won't relax.
We'll still collect inheritance tax.

[arlo]

laws

Every law added is a freedom lost!!!!!!!!!!

[veritas]

Remember

a law like this and I hope eventually either every state does or we get a Federal sales tax so that no purchases are exempt from it. Amazon won't go out of business over being forced to charge sales tax.

Some states don't have a sales tax.

In our parts some (transplants) would like to institute one so we can have a third leg to the "stool".

[taxea]

a law like this and I hope eventually either every state does or we get a Federal sales tax so that no purchases are exempt from it. Amazon won't go out of business over being forced to charge sales tax.

Amazon does not want to get into the collecting sales tax part of the sale which is the reason why they drop their affiliates in States that pass this law. You are right that Amazon won't go out of business but it won't be because they are charging sales taxes. It will be because they will only include businesses on their sites that are not required by law to collect sales tax from customers out of their state. It is the businesses who rely on Amazon sales for their income that are going to lose and go out of business as a result of states passing this law.