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Amazon vows to continue dropping "states who pass those affiliate laws"

Taxes have become a major issue for Amazon in many U.S. states, but the online retail giant isn't afraid to turn its back on those pressuring it to collect. 

A few years back, Amazon filed a lawsuit against the state of New York because NY tried to collect taxes from out-of-state transactions through Amazon. More recently, Texas State Comptroller Susan Combs charged Amazon $269 million in unpaid sales taxes on online sales. This led to Amazon's decision to close a distribution center and cancel further plans to expand operations in the state.  

While certain states are going after Amazon mainly due to the fact that the retailer's affiliates operate within these states, and because they need a way to offset huge budget deficits, they're not the only ones who have a bone to pick with Amazon. Brick-and-mortar competitors like Best Buy and Sears also want to see the retail giant collect taxes because they see Amazon as having an unfair advantage. 

Amazon is cutting loose from more U.S. states that continuously pressure the retailer to collect taxes. For instance, Illinois just passed a new law that requires online retailers to collect taxes if they have affiliates in the state. Amazon's answer to that is to cancel affiliate programs in the state of Illinois. 

In addition, both Texas and California are considering bills that would tax online sales. Amazon made it clear that it will simply continue to drop affiliates in U.S. states if the states continue down this path. 

"We will continue to drop states who pass those affiliate laws, from the affiliate program," said Chief Executive Jeff Bezos. "In the U.S., the constitution prohibits states from interfering in interstate commerce. The sales tax collection is very complicated. The right place to fix this is with federal legislation." 



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RE: Urg
By AEvangel on 5/12/2011 12:49:56 PM , Rating: 2
quote:
Keep in mind money is a creation of government, and its purpose is to make economic activity (versus barter/trade) more efficient and easily measureable. They also make economic activity possible by collecting taxes, raising a military, and protecting the people and resources of not just the consumers, but of the suppliers in the economic equation.


Really...that surprising...I guess all that Money that was around before Govt was imaginary.

How does collecting Taxes make economic activity possible?? So if we don't collect taxes then NO economic activity is happening??

Really, the only person protected by the Govt is the supplier or the the Corporation since the fundamental laws of economics already in place protect the consumer just as effectively as do any laws created by Govt.


RE: Urg
By AssBall on 5/12/2011 12:59:21 PM , Rating: 2
The "fundamental laws" of economics don't really address human nature. Without government intervention and upheld laws, I would just shoot you if I wanted your car. Maybe sue you until you are insolvent is a better modern analogy.

The whole economic system breaks down and there isn't even motivation to produce or innovate without some kind of enforced structure.


RE: Urg
By AEvangel on 5/12/2011 1:47:08 PM , Rating: 2
Yes, they do since the Fundamental Laws of economics are based on the ideals of Human Nature...they are tied together.

I agree, the system does stutter when their is not some sort of structure, but that structure would come from the Human desire to increase wealth and stability, which factors right back into the Fundamental Laws of economics under supply and demand.

Also my car or any car would have NO value if the value is consistently stripped away by your thieving or litigious ways. What would happen is the demand for protection and or legal advice would increase and perhaps the price of guns or attorneys. It's all linked together.


"There's no chance that the iPhone is going to get any significant market share. No chance." -- Microsoft CEO Steve Ballmer














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