Just when selrahC thinks he’s hit it big with Amazon.com…comes word that the online retail giant may cut off all of its California affiliates…and that includes YOU selrahC, due to pending Sales Tax Legislation designed to gobble up as much revenue as it possibly can to extort the Taxpayers and pay off the state’s Union buddies and other special interest groups, but which will instead decrease said revenue.
Of course, the Demo☭rats in Sa☭ramento won’t care:
Like several other states facing steep revenue shortfalls, California is looking to get sales tax revenue from out-of-state online retailers who don’t have a physical presence in the state. According to a 1992 U.S. Supreme Court ruling*, retailers can’t be required to collect sales tax in states where they operate no physical facilities, such as stores or distribution centers. California’s pending legislation, however, would consider web site affiliates as constituting a physical presence requiring e-retailers to collect sales tax.
Amazon argues that, instead of increasing tax revenue for California, the proposed legislation would reduce incoming revenue. “These bills would provide no new tax revenue collected by Amazon or others who sever their relationships with California-based advertisers,” Paul Misener, Amazon’s vice president for global public policy, says in a letter to Senator Runner, adding: “California consumers would still be able to purchase online at www.amazon.com from Amazon’s retail business, so these bills would only deny California-based organizations and individuals the advertising fees they currently receive from out-of-state retailers and, ironically, California’s general fund could suffer a net loss in revenue as affiliates pay less income tax or move out of the state.”
[* – Link added by Ed.]
Gee selrahC, what’s your next hare-brained money-bilking scheme gonna be if this happens?

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