I’ve mentioned the so-called “Amazon tax” a couple of times recently, and now it looks like it has passed the second big hurdle by clearing the Senate. It was actually packaged up into a bill by Sen. Hancock with two other bills:
Hancock added, “Out-of-state online merchants are able to underprice local stores and California-based online businesses by as much as 10% by simply refusing to collect state sales tax. We’re finally on our way to changing that in a way that will help small business and brings in more revenue. It’s only fair.”
The three bills that are part of today’s legislative package include:
* Senator Hancock’s SB 234, which insures that the state tax board (Board of Equalization) has the authority to enforce collection of state sales tax by out-of-state retailers.
* Assemblyman Calderon’s AB 158, which specifies that retailers have a business “nexus” or connection with the state if any member of their corporate family is located in the state.
* Assemblyman Skinner’s AB 153, which obligates Amazon and others that use in-state affiliates to promote their sales to collect state sales tax immediately.
The measure incorporating the three bills now goes to the State Assembly, where a vote is also expected later today.
Hancock’s bill should pass the Assembly on a majority vote basis today, and head to the Governor’s desk.
Just won’t happen, As nothing will really change, As Amazon won’t pay up.
The bill SB 234 which is intended to force collection of use taxes from out of state retailers, I don’t think that will work as then It could be swatted down by the courts as an interstate tariff, which I think is a BIG no no, But then it looks to be neutralized by AB 158.
Oh and since Amazons sales are from independent merchants who pay to sell on Amazon, AB 158 is worthless. As people like Me will just buy from out of state merchants who do not have to obey CA law, since their not within California’s geographical borders. Me I have no 1099 or other form to file in any case, As I’ve been physically/mentally disabled since 2003 and as such I’m not allowed to file a tax return of any type. But then California has cut My check several times since March of 2009 and It’s as low as It can go legally.
And AB 153 is stupid and unworkable, Amazon will just dump their California affiliates just like Amazon has done in other states, I mean when will they learn?