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?
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.
It seems Amazon would be open for a standardized Federal sales tax to be collected but having to collect sales taxes based on variable rates across the nation could be a logisitics headache. Ca. rakes in multiple billions in tax revenues and still they mismanage it all. Why feed that fat beast any more $$.
Gov. Perry Vetoes Internet Tax Bill
http://www.atr.org/gov-perry-vetoes-internet-tax-bill-a6200
I cant believe Tx would even consider this nonsense...