Apr 22, 2010
NC State Tax and Amazon Lawsuit
North Carolina’s Department of Revenue had ordered the online retailer to provide full details on nearly 50 million purchases made by state residents between 2003 and 2010. NC is looking to collect taxes from NC residents that did not pay tax for that item that they purchased off Amazon.
Amazon.com filed a lawsuit stating that the lawsuit says the demand violates the privacy and First Amendment rights of Amazon’s customers. Amazon has no offices or warehouses in North Carolina, it’s not required to collect.
Last year, Amazon discontinued its affiliate program in North Carolina, which provides referrers with a small slice of the transaction, after the state legislature enacted a new law that would have used that program to force the company to collect sales taxes.
A North Carolina legislator said at the time that the state would be able to force online retailers to collect even retroactive taxes; tax officials have reportedly sent letters to online retailers in the last few months saying they’re required to pa
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