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8 comments

1 Daniel Ballard  Thu, Jun 30, 2011 6:50:55am

Oh crap. Charles could be hit in the wallet a bit by this. Crap.

2 Daniel Ballard  Thu, Jun 30, 2011 6:57:03am

Subscribe to LGF if you can folks, it's well worth it.

3 dragonfire1981  Thu, Jun 30, 2011 7:00:56am

Perhaps Charles can find an out of state business partner to get around this?

4 Bob Dillon  Thu, Jun 30, 2011 7:20:24am

A tip of the hat to all the hogs in Sacramento who have little desire to lift their collective snouts out of the public trough and actually think.
Nice job. /

5 gehazi  Thu, Jun 30, 2011 10:51:17am

Malki! has some good information on exactly how this affects affiliates and some of the background reasoning behind the new law and Amazon's decision.

6 Spocomptonite  Thu, Jun 30, 2011 11:29:43am

This is ridiculous. Amazon is based here in Washington and it charges me sales tax, so the ability for them to charge, collect, and send off sales taxes is already there. They just don't want to deal with it elsewhere. Even from an economics standpoint, I can't see how Amazon thinks a new sales tax will hurt MORE than eliminating the business generated by tens of thousands of affiliates.

7 gehazi  Thu, Jun 30, 2011 12:52:08pm

re: #6 Spocomptonite

They probably don't need to do much complicated voodoo for Washington sales, just check the billing address, add the sales tax, and send it to the state.

The issue is that they'd have to charge sales tax for a person in Vermont who is buying an item through Amazon (based in WA) via a California affiliate.

That gets confusing (possibly annoying) for the customer, who is used to not paying sales tax on Amazon purchases, and it means more infrastructure at Amazon devoted to tax issues.

8 Michael Orion Powell  Fri, Jul 1, 2011 9:38:52am

re: #7 gehazi

They probably don't need to do much complicated voodoo for Washington sales, just check the billing address, add the sales tax, and send it to the state.

The issue is that they'd have to charge sales tax for a person in Vermont who is buying an item through Amazon (based in WA) via a California affiliate.

That gets confusing (possibly annoying) for the customer, who is used to not paying sales tax on Amazon purchases, and it means more infrastructure at Amazon devoted to tax issues.

I'm not that familiar with this issue but from having used it, you seem to need a major league infrastructure and name recognition to your website like Charles here has for it to properly take off and start to bring in some income. Adding a lot of extra parameters and taxation seems like a really bad way to go and could dissuade both customers and investors.

Also, I'll say this until I'm blue in the freaking face - California's leaders need to stop worrying about Amazon.com and circumcision and start to look at their unequal education system, drug prohibition and prison industrial complex if they want to solve their issues.


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