TMCnet News
As Amazon begins Minnesota tax collections, affiliates rejoin the fold [Pioneer Press, St. Paul, Minn.](Saint Paul Pioneer Press (MN) Via Acquire Media NewsEdge) Oct. 01--Amazon's sales-tax-free era has ended for its Minnesota customers. The Internet retailer Wednesday began charging buyers here the state's 6.875 percent sales tax. The Seattle-based company has hinted at plans to build some type of facility in Minnesota -- it won't say what -- which would give it a physical presence in the state, the trigger by law for collecting the tax. The debate over collecting sales tax online has been long and bitter, pitting brick-and-mortar retailers against Internet merchants and their affiliates. Online shoppers liked avoiding the tax, too, although technically they were supposed to pay it anyway -- although almost nobody did. In 2013, the Legislature passed a law hoping to force Amazon to collect state sales taxes. Instead, Amazon sidestepped the law by severing ties with Minnesota-based affiliated websites that received fees for referring shoppers. But that was then. Now that Amazon is collecting Minnesota sales taxes, it has also updated its online operating agreement for any affiliates based in Minnesota. The old agreement banned residents of seven states, including Minnesota, from participating in the associates program. The revised agreement drops Minnesota from the list of banned states, clearing the way for Minnesota affiliates to rejoin Amazon's program. ___ (c)2014 the Pioneer Press (St. Paul, Minn.) Visit the Pioneer Press (St. Paul, Minn.) at www.twincities.com Distributed by MCT Information Services |