Skip to comments.Amazon truce wins Jerry Brown's signature
Posted on 09/24/2011 12:15:08 PM PDT by SmithL
SAN FRANCISCO Gov. Jerry Brown signed legislation Friday reflecting a truce among the state, brick-and-mortar retailers and Amazon.com, giving the e-commerce giant a one-year reprieve from collecting California sales tax.
The agreement spares the state a ballot fight over the collection of online sales taxes: Amazon will suspend its bid to repeal California's online tax law, while the company and other online retailers will have until July 31, 2012, to lobby Congress for national tax standards.
Amazon said it plans to reinstate thousands of affiliates based in California.
(Excerpt) Read more at sacbee.com ...
Something has to pay for illegal immigrants schooling,
State Board of Equalization member George Runner defined the new so-called Amazon Law as both good and bad.
Clearly Amazon will be committing to bring new jobs to into California by bringing in distribution centers and fulfillment centers and thats a good thing. Which basically means they will then under the law, regardless have to collect the sales tax, because they will have clear presence here.
Absent a federal solution, which is highly unlikely in such a short time frame given all of the competing interests, well be right back in the same mess in a year. The State of California will again be killing California jobs, driving away investment and inviting costly litigation.
As I read it, Amazon is not “anti tax” - they want a national standard. If that isn’t achieved, I see an opening for a rival retailer to set up shop in Nevada and cater to Californians who wish to evade the sales/use tax.
This is too little to late. I was one affected when Amazon capriciously and out of spite sent out notice one day in the late afternoon and then cut off service at 12:01AM the next day. I was making around $250 a month advertising and linking blogs for them of which I was spending about $100.00 every 6 weeks using the rest to offset SS issues. Jerry Moonbeam’s game was bulls@#!, but so was the lack of maturity on Amazon’s part. It will take 2 years to resolve the political issue, about the same amount of time I had invested in Amazon. The Amazon problem I can solve now though. I won’t reup, too much of a chance of them throwing it away, I WILL NOT pay for Amazon Prime again and my business is going elsewhere. Right during x-mas buying too. I intend to excoriate them in those blogs I mentioned and since they are a Nevada oriented business it will be interesting to watch the Harry/Jerry show
Amazon screwed the consumers by cutting this deal. Well screw them. I will take my business elsewhere. Nowadays, I only buy ebooks. For other stuff, I will buy the lowest cost including taxes and shipping and let the market decide.