California Taxes Amazon: Amazon Drops California Affiliates

It’s always interesting when someone purporting to be a capitalist is willing to screw another capitalist under the illusion of fairness.  The resident merchants of Caliornia joined up in unison to attack the online sellers, and and the residents of California were the ones that got screwed.  It matters not that the US Supreme court ruled against the practice of taxing when there is no physical presence in Calif.

California Retailers Association stated:  “We thank Governor Jerry Brown and the leaders in the California State Legislature who have demonstrated their leadership and commitment to California businesses by passing and signing e-fairness into law. Small and large businesses across the state have been held at a major disadvantage by the current law that out-of-state online companies like and have exploited for years. This has cost us jobs and revenues.”

Six other states have already tried this tactic and in every case the result was no increase in revenues to the state and a loss of income to the affiliates.

Now, perhaps Wal-mart and Best Buy and the rest of the California Retailers Assn will experience a short term gain from possible reduced competition, but what will they do when this insatiable appetite of the Democrat controlled legislature puts its sights on them?

The residents of California lose.  The California affiliates lose.  And the state of California loses the revenue from those affiliates.

Perhaps this has a golden lining because the sooner the state of California goes completely broke, the sooner the citizens can get busy repairing the damage caused by their foolishness.

About rereno

Real estate investor
This entry was posted in Amazon, Articles, Government, Taxes and tagged , , . Bookmark the permalink.

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