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Amazon cuts relationships with N.C. affiliates (cites "unconstitutional tax collection")
www.news-record.com ^ | June 26, 2009 | Mark Binker

Posted on 06/26/2009 6:37:55 PM PDT by lowbridge

Retailer Amazon.com has cut off its relationship with affiliates in North Carolina effective today, report people who have been involved in the company’s marketing program.

Affiliates helped Amazon sell by advertising books, music and other goods on their Web sites. If a customer clicked through those links and bought something on the Web site, the affiliate received a share of that sale.

“We are writing from the Amazon Associates Program to notify you that your Associates account has been closed as of June 26, 2009,” reads and e-mail Amazon sent to its affiliates today. “This is a direct result of the unconstitutional tax collection scheme expected to be passed any day now by the North Carolina state legislature (the General Assembly) and signed by the governor.”

The tax provision that Amazon objects to would apply sales tax to purchases made through such click-through transactions from Web sites run by affiliates based in North Carolina.

(Excerpt) Read more at news-record.com ...


TOPICS: Business/Economy; Constitution/Conservatism; US: North Carolina
KEYWORDS: amazon; galt; internettaxes; nc; northcarolina; taxes
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1 posted on 06/26/2009 6:37:56 PM PDT by lowbridge
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To: lowbridge

There’s a reason they call NC “New York South”. Someone better get a handle on that place quick.


2 posted on 06/26/2009 6:40:07 PM PDT by perfect_rovian_storm (The worst is behind us. Unfortunately it is really well endowed.)
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To: lowbridge

Coming to your state in the very near future! I sell books on Amazon as an additional income stream for our household...the writing has been on the wall for a while. Our states are in dire straights and they are going to wring every red cent out of all of us to keep their ponzi schemes afloat.

Please! Everyone buy something from me before 0bama puts me out of business! Jerk.

However, I APPLAUD Amazon for doing this. Screw Mother Government.


3 posted on 06/26/2009 6:41:52 PM PDT by Diana in Wisconsin (Save The Earth. It's The Only Planet With Chocolate.)
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To: lowbridge

Good for Amazon!


4 posted on 06/26/2009 6:43:20 PM PDT by TheZMan ("I fear all we have done is to awaken a sleeping giant and fill him with a terrible resolve.")
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To: lowbridge

Internet sales versus sales from brick-and-mortar stores. Over $140B in untaxed sales is a lot of potential state tax revenue.

Eventually it will not matter where you by a widget, it will be taxed. And with sales tax, stores that have a brick-and-mortar location in a state must collect sales tax on their sales over the internet also.

Just happens that Amazon has no brick-and-mortar stores except possibly in NY (?) if anywhere.


5 posted on 06/26/2009 6:45:03 PM PDT by K-oneTexas (I'm not a judge and there ain't enough of me to be a jury. (Zell Miller, A National Party No More))
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To: perfect_rovian_storm

Unemployment rate 11.1% with no end in sight.


6 posted on 06/26/2009 6:46:40 PM PDT by alancarp (Obama: treat the unborn with AT LEAST as much respect as you do terrorists!!)
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To: alancarp

Don’t worry, they’ll make it up in new government jobs!

They don’t want all that pesky affiliate income anyway. All those damn capitalists do nothing but ruin the socialist utopia.


7 posted on 06/26/2009 6:49:16 PM PDT by perfect_rovian_storm (The worst is behind us. Unfortunately it is really well endowed.)
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To: K-oneTexas
Over $140B in untaxed sales is a lot of potential state tax revenue.

Over $140B in untaxed sales is a lot of potential government.

Just a small correction..

8 posted on 06/26/2009 6:49:18 PM PDT by jwalsh07
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To: lowbridge

here that ya greedy tax collectors?


9 posted on 06/26/2009 6:50:04 PM PDT by yldstrk (My heros have always been cowboys--Reagan and Bush)
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To: lowbridge

I got my copy of the email this morning. :-(


10 posted on 06/26/2009 6:50:06 PM PDT by krb (Obama is a miserable failure.)
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To: sionnsar

ping


11 posted on 06/26/2009 6:52:30 PM PDT by WeatherGuy
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To: lowbridge

Amazon goes Galt!

The illegal move by N.C. political hacks just cost North Carolinian entrepreneurs big bucks.


12 posted on 06/26/2009 6:54:40 PM PDT by FormerACLUmember
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To: K-oneTexas
And with sales tax, stores that have a brick-and-mortar location in a state must collect sales tax on their sales over the internet also.

Only if that sale is to an in-State destination. Out-of-State there is no need to collect sales tax.

People buying items from out-of-State are supposed to report their own use tax to the State, annually. It's actually a law in most States that collect sales taxes. The fact that most people do NOT pay those taxes (or even report them) should not mean the out-of-State vendor must collect those taxes.

13 posted on 06/26/2009 6:59:14 PM PDT by PugetSoundSoldier (Indignation over the sting of truth is the defense of the indefensible)
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To: FormerACLUmember

California is about to do the same thing....This affects a lot of folks....to the ill


14 posted on 06/26/2009 7:03:16 PM PDT by abigkahuna (Step on up folks and see the "Strange Thing" only a thin dollar, babies free)
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To: lowbridge

WAY TO GO AMAZON!!!

Gutsy move. I’m sure the tax-hikers in NC expected Amazon to bend over and take it, but Amazon decided to play hard ball. Outstanding move, and even better doing it prior to the vote...so that the money-grabbers can see the impact of what they’re doing.

I’ve always that 10 or 15 years ago, when Florida filed the nation’s first lawsuit against tobacco companies, that the companies should have all packed up and left the state...saying it was an unfriendly business environment. Then the smokers would have hopped in their cars, driven to border states and bought their cigs there and paid taxes there. It would have hit the Florida government right in the pocketbook...the only place they would notice it. But no, the companies “settled” and the people of Florida got to pay the settlement in a (big) hidden tax.


15 posted on 06/26/2009 7:03:24 PM PDT by BobL (Drop a comment: http://www.freerepublic.com/focus/f-chat/2180357/posts)
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To: PugetSoundSoldier

You have it partly right.

Out-of-state sales ... meaning a Texas company ships to NY customer?

If the Texas store has a store in NY it has representation in both states and would need collect the proper states tax and remit it to the state taxing authority.

Lets take a Sears, they have representation in virtually every state. The tax applies at the destination when the sale is shipped from one state to another.

If Sears doesn’t charge it, then the way the laws are written, the Use tax comes into play. Meaning the customer owes it and can be billed by the State for the tax plus penalty and interest. many states do not go after the consumer but legally could do so.


16 posted on 06/26/2009 7:04:50 PM PDT by K-oneTexas (I'm not a judge and there ain't enough of me to be a jury. (Zell Miller, A National Party No More))
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To: PugetSoundSoldier

You have it partly right.

Out-of-state sales ... meaning a Texas company ships to NY customer?

If the Texas store has a store in NY it has representation in both states and would need collect the proper states tax and remit it to the state taxing authority.

Lets take a Sears, they have representation in virtually every state. The tax applies at the destination when the sale is shipped from one state to another.

If Sears doesn’t charge it, then the way the laws are written, the Use tax comes into play. Meaning the customer owes it and can be billed by the State for the tax plus penalty and interest. many states do not go after the consumer but legally could do so.


17 posted on 06/26/2009 7:05:56 PM PDT by K-oneTexas (I'm not a judge and there ain't enough of me to be a jury. (Zell Miller, A National Party No More))
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To: perfect_rovian_storm

It seems much of the state of North Carolina has been taken over by the Durham/Raleigh/Chapel Hill/Cary mentality...

NO good will come from that...


18 posted on 06/26/2009 7:08:01 PM PDT by river rat (Semper Fi - You may turn the other cheek, but I prefer to look into my enemy's vacant dead eyes.)
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To: perfect_rovian_storm
There’s a reason they call NC “New York South”. Someone better get a handle on that place quick.

I grew up in Miss. All my friends and family were very conservative. One close friend moved from Miss. to Ala. and was still conservative. He later moved to N.C. for awhile before returning to Miss. Upon returning he and his wife were liberal. They stayed that way for years.

He recently told me that Obama had driven him back into the conservative fold.

19 posted on 06/26/2009 7:10:32 PM PDT by Mind-numbed Robot (Not all that needs to be done needs to be done by the government)
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To: BobL
I agree, that should have happened. Now, anyone who buys cigarettes in any town that has banned smoking them is absolutely nuts. If there is a neighboring state that has lower tax on them, and they buy them in their home state, they are nuts. I have quite a few relatives who smoke, which I have no problem with. I told them all after this last FDA bill, at the very least, switch to some generic and let Marlboro and the rest of that company's cigarettes, rt on the shelf.
20 posted on 06/26/2009 7:32:13 PM PDT by gidget7 (Duncan Hunter-Valley Forge Republican!)
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