Posted on 07/02/2011 3:46:49 PM PDT by tflabo
Saying it won't force California customers to pay sales tax on their Internet purchases, Amazon.com is severing ties with 10,000 small businesses and individuals here who funnel shoppers to the online bazaar through their websites.
The defiant action came hours after Gov. Jerry Brown signed legislation that would have required Amazon to start collecting a 7.25% base tax on online purchases
(Excerpt) Read more at latimes.com ...
Awh!! The libs are fighting among themselves! What’s the matter? They don’t like paying ‘their fair share’?
Rats NEVER think that there could be a negative reaction to their actions.
“This is a significant hit on our revenues and our profits,” said Loren Bendele, chief executive of the company, which has 80 employees. Bendele said the action would cost the company 15% to 20% of its business, and probably require him to lay off workers.
ARE YOU LISTENING BROWN/OBAMA?!?!
Way to go minimizing the problem there, LA Times. The number of affiliates affected has been widely reported to be 25,000 rather than 10,000.
I wonder how many of those Amazon partners are just one desktop computer heavy and can setup outside California with an apartment and a DSL connection.
People are tired of paying for entitlements. Soon SS will be gone. Then what will the old folks do?
They will have to go to work like the rest of us. Or create their own job/business.
I don’t want to be perceived as anti-Amazon. I shop with them far more than I do any brick or mortor.
But if the sales tax code in Cal requires collection of sales tax on internet purchases...is this out of line? (I guess I could look it up, but I don’t have the time or inclination.)
They are not fighting it. They are simply going to stop doing what the state has decided to tax.
no. but then Amazon has every right to stop doing what the state has decided to tax.
The old folks, as you call us....will demand all the SS money taken out of our wages, plus interest.
“But if the sales tax code in Cal requires collection of sales tax on internet purchases...is this out of line? (I guess I could look it up, but I don’t have the time or inclination.)”
There are court cases on point about both what constitutes a “nexus” requiring out-of-state companies to collect tax and regarding subsidiaries & taxation as well. All of these court cases seem to back Amazon, not CA. CA’s new code goes against established court precedents.
Grow a brain and get the hell out of the rathole...make it happen...
I would guarantee by these small buisnesses losing access to Amazon that they will be laying their employees off because of the hit they will take from it.Dumb dumb move on the states part!
They most certainly have the right to discontinue doing business in Cali. They may well do the same in Texas, sadly.
So many businesses are fleeing heavily tax laden states, I see their point.Even though sales tax is a pass thru to the state and not profit. I can’t imagine the nightmare it would be for a company like Amazon to keep track and remit sales tax in every state. I look at Texas sales tax laws and my head explodes.
From Amazon’s standpoint...I would relocate. My question is this..if it is legal under the Cal sales tax code to force collection of sales tax...why would they not? Or should all internet sales in Cal be ignored for sales tax income?
Thank you for your answer.
So this is a change in past Cal sales tax requirements?
I’m not sure what a nexus is. Is it like a grandfather clause?
Wow! More cars on the road polluting the environment with drivers wasting gasoline and time.
Amazon did shut down Texas distribution centers after the state began trying tax out of state orders distributed through them. Including a big one in my town with the resulting loss of jobs.
They don’t have to stop doing business in Kalipornia or Texas to avoid these particular taxes. In Kalipornia they just stop allowing thousands of associates to sell on their site and in Texas they closed their brick and mortar warehouses.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.