November 10, 2011 | Digital Policy

Amazon has been in the news over the years opposing efforts by states like California and Texas to get Amazon to collect state taxes on purchases by buyers in those states. At one point, Amazon dropped affiliates living in California in order to avoid nexus in the state which might have forced it to collect those taxes.

Now comes news that 4 members of Congress have introduced a bill, the so-called Marketplace Fairness Act, which would allow, but not force, states to collect taxes on Internet sales.

Surprisingly, Amazon has come out in favor of the bill, providing that taxes are collected in a uniform manner. So why the change of heart? Is Amazon now large enough that the additional imposition of taxes won’t matter to its juggernaut status? Or does it see Internet sales taxes as being inevitable, and it’s just trying to favor the best and easiest approach for its e-commerce process?

Are you in favor of an Internet sales tax?


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