Shopping giant Amazon and the state of California are now trying to prepare a legislation which will provide the entire online retailer to try as well as change their federal tax policy – apart from that which means that the people of California will be quiet being able to buy online goods in spite of charging sales tax for another 12 months.
We all know that paying sales tax can also be determined as lures of online shopping and an honorable Supreme Court decision in the year 1992 has stated that consumers don’t have to pay extra sales tax at the time of purchasing anything from online, that’s why Amazon has not resided this sales tax to their online retailers yet.
With the sequence to the fact CNN report has also stated that in this matter Governor Jerry Brown has already approved an $86 billion budget, which may require Amazon as well as other out of state online retailers to collect tax from the California residents if they want to run offices, affiliates and other kinds of services inside the California.
This new law was implemented for the work from July 1 and as a result this cash-strapped state is now forcing Amazon to collect tax from the California inhabitance – if we measure this in usd then it will be approximate $200.
Retures report has also stated “Amazon has not said anything regarding this case, but if these guidelines forced them to collect sales tax then Amazon would be required too much for collecting sales tax.”
Just after published the above report Amazon has also announced they will cut all the ties with their California associates for another year and additionally they have declared that they will wrote a referendum for challenging this new law.