Amazon, California Cut Deal on Online Sales Tax

It's been a couple of weeks since I've annoyed readers with a post on the Amazon sales tax targeting web retailers, so, hey, here's a new wrinkle: In California, Amazon.com has reached a deal with legislators to delay collections of the online sales tax for a year. In exchange, the online retailing behemoth will back off their effort to overturn the new law via referendum (an effort in which Amazon's already spent some $5 million). In the Los Angeles Times, a Golden State lawmaker describes … [Read more...]

Arkansas Amazon Sales Tax: Legislative Study to Look at Job Loss

Beebe jobs record

Word comes from Rep. David Meeks (R) of Conway, via Twitter, that his proposal for an interim study of the Amazon sales tax law (link opens as PDF) targeting online retailers will move forward. Meeks requested the study in July to determine the potential fiscal impact of the new law and what effect it would have on jobs. (Side note: California passed a similar nexus law this summer. Early reviews are decidedly negative.) Meeks told me last month that, while he had voted against the bill when … [Read more...]

Meeks: Need Facts on Amazon Sales Tax Impact in Arkansas (Updated!)

Howard Jarvis book cover

Things are heating up on the online sales tax issue in California, where Amazon.com is leading the charge on a voter referendum that would exempt online retailers without a physical presence in the state from collecting sales tax. We’ve tracked the effects of a similar online sales tax bill that was enacted here in Arkansas. In response to the Arkansas law, countless online merchants have ended their affiliate contracts in the state—meaning they won’t be collecting sales tax in Arkansas, and … [Read more...]

Oh, Look, Now California Has an Amazon Sales Tax, Too

I'm just back from a trip to Lake Tahoe (lovely, thanks for asking) and look what happened during my brief tenure in the Golden State. Tell us more, Los Angeles Times: Beginning Friday, a new state law will require large out-of-state retailers to collect sales taxes on purchases that their California customers make on the Internet — a prospect eased only slightly by a 1-percentage-point drop in the tax that also takes effect at the same time. Getting the taxes, which consumers typically don't … [Read more...]

Arkansas Amazon Sales Tax: Radio Interview with Judi Moore

Jonesboro radio man Paul Harrell sends audio of an interview he conducted with Conway-based affiliate marketer Judi Moore, whom we talked to last week, discussing how Arkansas' new Amazon sales tax law will crush her online business. This interview gives a more detailed picture of how the new law is sucking piles of money out of the Arkansas economy, while generating little, if any, new tax revenues for the state: Worth pointing out about this interview is how the discussion cuts across … [Read more...]

More on Amazon Sales Tax: It’s Not Just Amazon! (Updated!)

Nexus tax states map

I'm mildly obsessed with the Amazon sales tax law I wrote about earlier in the week, which targets affiliate marketing relationships in a misguided effort to rain down money on state government. I hope you like reading about that issue. Because if not, hoo boy, are you in for a rough ride. I want to emphasize that while Amazon.com is the biggest target, because they're the major player in online sales and affiliate marketing, the impact stretches much, much further. While Amazon and … [Read more...]

So Who’s Getting Screwed by the Arkansas Amazon Tax Law? The Little Guys.

Consider yourself terminated.

Ten days ago, Amazon.com announced they were shutting down their affiliate programs in Arkansas in response to a new state law, signed by Gov. Mike Beebe in April, that requires online retailers to collect sales taxes. So who’s going to pay the price for this new law? The affiliates themselves — mostly small online operators who refer business to Amazon and other sellers through links and are paid a percentage of the sale. Take a look at Glenn Johnson of Little Rock, who runs the Full Figure … [Read more...]