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The online affiliate industry should be happy about this. For the past few years states have been instituting laws stating online affiliates earning commissions
by Hawkee 13y ago
The online affiliate industry should be happy about this. For the past few years states have been instituting laws stating online affiliates earning commissions on sales constitute a physical nexus. This first passed in New York and Amazon began collecting tax from New York residents. Many other states followed, but rather than collect the tax like they did in NY they started killing off their affiliates in each of these states. I know of one particular case where Fat Wallet moved out of state to avoid being severed by a majority of their affiliate partners. States have been trying everything they can to force online merchants to collect tax, but they've been failing miserably. Amazon even said they would start collecting tax if the federal government steps in. It looks like we've finally reached that point. There's a lot more history to this issue than it appears.