Tuesday, January 13, 2009

NY defeats Amazon in suit over online tax haul

Business Week reports:
New York state has won a round in court against Amazon.com over a new law requiring out-of-state online companies to collect sales tax from shoppers in New York.

The law applies to companies that don't have offices in New York, but have at least one person in the state who works as an online agent -- someone who links to a Web site and receives commissions for related sales.

A state Supreme Court justice in Manhattan is dismissing the suit challenging the constitutionality of the legislation, saying Amazon had no basis for legal action.
Amazon is getting in the way of the state of New York's mission statement:higher taxes to pay for higher public pensions.