California Passes Anti-Amazon Bill and 10,000 Associates to be Terminated

So Governor Brown signed the new tax bill on Wednesday after the state assembly and senate passed the bill. I hoped Gov. Brown would veto the bill. He ruined the state the last time he was the governor, and here he goes again.

Amazon to Terminate over 10,000 Associates Accounts

Because of this bill, over 10,000 affiliate accounts are being closed, which means no more affiliate marketing with Amazon for Californians. This new law will not only cause job loss, but also decrease in state tax revenue.

This is a good reason to live in a business-friendly state if you run a home business. Running a business in a state where everything’s controlled by liberal politicians is the last thing I would do, because they will always try to get more money from your business.

I just hope there are enough complaints among the citizens that this ridiculous law gets repealed. Amazon even quoted this law “unconstitutional”. Read Amazon’s offical letter to the Board of Equalization. It is a very interesting reading.

Amazon respectfully opposes the new tax collection schemes proposed in AB 153 (Skinner), AB 155 (Calderon), SB 234 (Hancock), and SB 655 (Steinberg), because they are either facially unconstitutional or would construct Trojan horses for functionally identical unconstitutional regulation. Similar legislation in other states has, counterproductively, led to job and income losses and little, if any, new tax revenue.

Continue reading… Amazon Position on Sales Tax Nexus Bills

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UPDATE : Pat over at SmartPassiveIncome.com posted an excellent piece about this issue. I recommend that you go read his post. Alternatives for Amazon Affiliates.