Delivery-date: Wed, 29 Jun 2011 19:22:33 +0000
Received: from smtp-out-212-55.amazon.com ([72.21.212.55])
Date: Wed, 29 Jun 2011 19:25:06 +0000 (UTC)
From: “Amazon.com Associates Program” ([email protected])
Subject: Notice of Contract Termination Due to Potential New California LawHello,
For well over a decade, the Amazon Associates Program has worked with thousands of California residents. Unfortunately, a potential new law that may be signed by Governor Brown compels us to terminate this program for California-based participants. It specifically imposes the collection of taxes from consumers on sales by online retailers – including but not limited to those referred by California-based marketing affiliates like you – even if those retailers have no physical presence in the state.
We oppose this bill because it is unconstitutional and counterproductive. It is supported by big-box retailers, most of which are based outside California, that seek to harm the affiliate advertising programs of their competitors. Similar legislation in other states has led to job and income losses, and little, if any, new tax revenue. We deeply regret that we must take this action.
As a result, we will terminate contracts with all California residents that are participants in the Amazon Associates Program as of the date (if any) that the California law becomes effective. We will send a follow-up notice to you confirming the termination date if the California law is enacted. In the event that the California law does not become effective before September 30, 2011, we withdraw this notice. As of the termination date, California residents will no longer receive advertising fees for sales referred to Amazon.com , Endless.com , MYHABIT.COM or SmallParts.com . Please be assured that all qualifying advertising fees earned on or before the termination date will be processed and paid in full in accordance with the regular payment schedule.
You are receiving this email because our records indicate that you are a resident of California. If you are not currently a resident of California, or if you are relocating to another state in the near future, you can manage the details of your Associates account here . And if you relocate to another state in the near future please contact us for reinstatement into the Amazon Associates Program.
To avoid confusion, we would like to clarify that this development will only impact our ability to offer the Associates Program to California residents and will not affect their ability to purchase from Amazon.com , Endless.com , MYHABIT.COM or SmallParts.com .
We have enjoyed working with you and other California-based participants in the Amazon Associates Program and, if this situation is rectified, would very much welcome the opportunity to re-open our Associates Program to California residents. We are also working on alternative ways to help California residents monetize their websites and we will be sure to contact you when these become available.
Regards,
The Amazon Associates Tea
Update: It is done.
Received: from smtp-out-212-55.amazon.com ([72.21.212.55])
Date: Wed, 29 Jun 2011 19:25:06 +0000 (UTC)
From: “Amazon.com Associates Program” ([email protected])
Subject: Notice of Contract Termination Due to Potential New California LawHello,
For well over a decade, the Amazon Associates Program has worked with thousands of California residents. Unfortunately, a potential new law that may be signed by Governor Brown compels us to terminate this program for California-based participants. It specifically imposes the collection of taxes from consumers on sales by online retailers – including but not limited to those referred by California-based marketing affiliates like you – even if those retailers have no physical presence in the state.
We oppose this bill because it is unconstitutional and counterproductive. It is supported by big-box retailers, most of which are based outside California, that seek to harm the affiliate advertising programs of their competitors. Similar legislation in other states has led to job and income losses, and little, if any, new tax revenue. We deeply regret that we must take this action.
As a result, we will terminate contracts with all California residents that are participants in the Amazon Associates Program as of the date (if any) that the California law becomes effective. We will send a follow-up notice to you confirming the termination date if the California law is enacted. In the event that the California law does not become effective before September 30, 2011, we withdraw this notice. As of the termination date, California residents will no longer receive advertising fees for sales referred to Amazon.com , Endless.com , MYHABIT.COM or SmallParts.com . Please be assured that all qualifying advertising fees earned on or before the termination date will be processed and paid in full in accordance with the regular payment schedule.
You are receiving this email because our records indicate that you are a resident of California. If you are not currently a resident of California, or if you are relocating to another state in the near future, you can manage the details of your Associates account here . And if you relocate to another state in the near future please contact us for reinstatement into the Amazon Associates Program.
To avoid confusion, we would like to clarify that this development will only impact our ability to offer the Associates Program to California residents and will not affect their ability to purchase from Amazon.com , Endless.com , MYHABIT.COM or SmallParts.com .
We have enjoyed working with you and other California-based participants in the Amazon Associates Program and, if this situation is rectified, would very much welcome the opportunity to re-open our Associates Program to California residents. We are also working on alternative ways to help California residents monetize their websites and we will be sure to contact you when these become available.
Regards,
The Amazon Associates Team
They’ll have to do better then this. This just pushes me off the fence — against them. And I do buy (or I should say have bought) from them.
was really poorly written and sent. The way it came across, it really did look like I couldn’t buy from Amazon any more at first glance.
It will be interesting to see who blinks first here. If all the major states get together – and there have been 5 or 6 so far this year – Amazon will be effectively shutting down both its affiliate program (where people can list items for sale on Amazon) and its associates program (where links on people’s sites get a small commission if they lead to a sale). Obviously Amazon implemented those programs because they made money.
Further, California is also going after use tax from individual taxpayers. If you’re a business, you started getting forms expecting you to file a return declaring out of state purchases – you can declare $0, of course, but if it’s not accurate, you’re perjuring yourself.
So, it seems to me that Amazon is going to be losing this aspect of their competitive advantage eventually.
Once upon a time, the differentiation made sense. Today, I cannot justify why Amazon is exempt from collecting sales tax but Target is not. Worse, the rules have set up a strong incentive for Amazon not to have any employees or offices in California.
There’s two ways to go: simplify the rules so that sales tax is computed easily for vendors of any size, or set a cutoff at a certain size. But it’s time that Amazon started participating in the economy on an equal basis.