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The case in question concerns New York state To be clear, I believe the sales taxes in question are both state and local: http://online.wsj.com/article/SB1231
by gravitycop 18y ago
The case in question concerns New York state
To be clear, I believe the sales taxes in question are both state and local:
http://online.wsj.com/article/SB123186764434777801.html?mod=googlenews_wsj http://online.wsj.com/article/SB123186764434777801.html?mod=...
The judge said New York's law doesn't broadly tax "any and all Internet sales," but instead requires companies to collect state and local sales taxes if the company generates $10,000 or more in revenue as a result of commissions paid to persons in New York for sales referrals.
- spc476 18y agoSo, is that per affiliate (i.e. if no New York affiliate generated over $10,000, then Amazon owes no taxes) or aggregated (i.e. affiliates in New York generated $500,000 total payments, and Amazon now owes tax on said $500,000)? My guess would be for the latter.
- gravitycop 18y agoMy guess, based on the wording in the WSJ sentence I quoted, would also be for the latter (aggregated).
- anamax 18y ago> Amazon now owes tax on said $500,000 No. The rule is that if Amazon does enough biz with NY affiliates, it has to pay sales tax on all sales to NY residents. (Of course, it can collect said sales tax from NY residents.)