For those of us that still have some affiliate marketing sites using Amazon.com, this is unwelcome news. Will it also apply to Google AdSense and other online revenue generating tools?
via email from Amazon.com on June 17, 2009
We regret to inform you that the North Carolina state legislature (the General Assembly) appears ready to enact an unconstitutional tax collection scheme that would leave Amazon.com little choice but to end its relationships with North Carolina-based Associates. You are receiving this e-mail because our records indicate that you are an Amazon Associate and resident of North Carolina.
Please note that this is not an immediate termination notice and you are still a valued participant in the Associates Program. All referral fees earned on qualified traffic will continue to be paid as planned.
But because the new law is drafted to go into effect once enacted – which could happen in the next two weeks – we will have to terminate the participation of all North Carolina residents in the Amazon Associates program on or before that same day. After the termination day, we will no longer pay any referral fees for customers referred to Amazon.com or Endless.com nor will we accept new applications for the Associates program from North Carolina residents.
The unfortunate consequences of this legislation on North Carolina residents like you were explained in detail to key senators and representatives in Raleigh, including the leadership of the Senate, House, and both chambers’ finance committees. Other states, including Maryland, Minnesota, and Tennessee, considered nearly identical schemes, but rejected these proposals largely because of the adverse impact on their states’ residents.
The North Carolina General Assembly’s website is http://www.ncleg.net/, and additional information may be obtained from the Performance Marketing Alliance at http://www.performancemarketingalliance.com/.
We thank you for being part of the Amazon Associates program, and we will apprise you of the General Assembly’s action on this matter.
Sincerely,Amazon.com
Tags: amazon associates, amazon.com
Me4thinks the politicos cunning plan hasn’t really been thought all the way through.Eventually,every major American internet-based business wiil be headquartered in other countries to avoid these onerous(and legally questionable) “internet taxes”.
Wow, that’s crazy to hear, didn’t realize it was getting so intense.
States all over are trying whatever they can to make up lost revenue. They fail to understand their revenue is down because of the jobless in their state – so they go about trying to squeeze it out of the remainder of the taxpayers whatever way they can. It simply hasn’t occurred to any of them that now is the time to pare down the size of their government and to reduce public salaries so their working population can afford to pay the taxes. We have that problem in California and after a massive 12 billion dollar increase in our taxes in April – they are back looking for MORE! I fully expect them to try the same nonsense here because they are accustomed to spending tax money like a bunch of drunken sailors! We have over 11 percent unemployment in California – the state is going bankrupt because they have not been able to raise our taxes even more. Legislators all over the U.S. better take warning. You do NOT raise taxes on people who barely have jobs! You cut your budget the same as we taxpayers have to do! Good for Amazon for drawing the line. What North Carolina is doing is out of pure greed – they must be made to see how it will disadvantage their residents! Angry residents show it at election time!