New York State Does It Again
Congratulations New York….They can’t make the Indians pay taxes so why not go after the internet. You think that’s stupid well how’s this for stupid? New York state submits a new tax law that makes out-of-state businesses with New York based-affiliates collect sales tax on Internet purchases made by New York State residents, the affiliate sales have to exceed $10,000. New York just hates small business! They have killed most of it in New York State now they are working on the Internet.
As a result, merchants that don’t want to deal with additional tax collection are dumping their New York-based affiliates.
As an example Shawn Collins has notified that they’ve been dumped effective May 20, 2008. Overstock notified it’s 3400 affiliates they are gone as of June 1st 2008. New York-based affiliate Shawn Collin’s blogcommented that he’d already been dropped by 4 Link-share merchants.
Amazon, will collect the tax but it is also suing New York state for introducing a law that it deems unconstitutional. Go get them Amazon!