Tennessee Next on Amazon’s Hit List?

CommanderFrank

CommanderFrank

Cat Can't Scratch It
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Amazon.com is at it again. Tennessee is considering enacting legislation requiring Amazon to collect sales tax within the state, a move Amazon vows not to do. Something will have to change in Amazon’s favor sooner or later or face the possibility of running out of states in which to operate.

Amazon.com does not want to collect sales tax on customers in the states where it operates fulfillment centers.
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Well isn't Amazon required to seeing as how they have a physical presence in TN?
 
They are always welcome to bring all those jobs to Montana. We don't have a sales tax in 99% of the state ;-)
 
Well, since they've stated plainly they will not tolerate such practices, looks like Amazon will be moving on over to someplace else again. We only have so many states so, at some point someone is going to have to remind the states that this economy sucks and it's not a good idea to run off the companies in such ways.

What a country....
 
I have no idea who's more powerful - the governments or Amazon/Jeff Bezos.
 
It just does not make sense to me. Income tax tends to be higher than sales tax, if they could get more people working for a decent wage it seems like they would collect more in taxes. Amazon pays warehouse associates pretty well in comparison to similar workplaces.
 
Affiliates in those states are the ones who lose out. It doesn't affect Amazon sales otherwise.
 
Tennessee sales tax is a bitch too. Family goes across the border to shop as it is to avoid it.
 
perhaps americans wouldnt be against sales tax, if income taxes werent as heavy, or the government as a whole didnt squander it on crap legislation. or hell, we just werent taxed at every point of our lives.

its the only place we have left to defy(sort of) our gov, and its taxes.. to bad it doesnt hurt the fed, and only hurts states and local government, who in the end have more direct influence on your life/job.
 
I dont understand how the states continue to do this, and they they act surprised/offended when Amazon pulls out, just like they did for every other state that's tried this.

It's just poor thinking on the govts part. I understand they want money, but chasing a company out over that want is a fucking horrible trade off, especially a decent-sized one like amazon. It's not like 10 people are losing their jobs over this.
 
I wonder if we are not getting the whole story on it. Are any of these affiliates packing up and moving as well? In some cases, without being listed on Amazon, they would not still be in business. Are any of them moving to states that do not have sales tax, or states that are not trying to bully Amazon into collecting sales tax if they have an instate affiliate or fulfillment center?
 
so how many states amazon have left before they break down like a child and cry in a corner
 
Tennessee has not enacted anything this is proposed legislation and unlikely to be passed and if were passed very unlikely to signed in to law.
 
If they have a physical presence in the state I side with the state on this one. If they don't I side with amazon. Like it or not though they're going to start changing laws pretty soon requiring online retailers to collect sales tax. They're just getting too big and pulling too much revenue away from the states.
 
Gott said:
Well isn't Amazon required to seeing as how they have a physical presence in TN?
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Well, first, the law says if a company has a nexus. Amazon says the center wouldn't be a nexus because there would be no retail availability, customers would not be able to pick up orders there, nor would they be able to return orders there. It would purely be a warehouse that has no direct interaction with any customers. That's what this is about - two people (Republican from Oak Ridge, and Republican from Franklin) have proposed changing the law so it actually will explicitly include Amazon's distribution facility.

Second, Amazon was promised that they wouldn't have to pay sales tax, then only after they started building, and had committed $139 million did these two guys suddenly decide to propose a law that outright goes back on what was previously promised. What business would ever trust the TN government again if they are known to make a promise, wait for you to commit over a hundred million, then go 'Neener neener, we're going back on our promise'?
 
I have never gotten anything shipped from TN thru amazon, only from newegg.
 
eelcds said:
I have never gotten anything shipped from TN thru amazon, only from newegg.
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That's because they haven't finished building anything yet. Amazon already has distribution out of Kentucky so it isn't like they would be substantially hurt if they do have to pull out of TN.
 
maxius said:
so how many states amazon have left before they break down like a child and cry in a corner
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There are a few states that do not have a sales tax. The jobs will end up going to those states. It's the states running the Amazon affiliate jobs out of their state that will be doing the crying.
 
Amazon already charges sales tax in Tennessee. I had an order through them last month and got charged sales tax, so how would anything change?
 
compslckr said:
It just does not make sense to me. Income tax tends to be higher than sales tax, if they could get more people working for a decent wage it seems like they would collect more in taxes. Amazon pays warehouse associates pretty well in comparison to similar workplaces.
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Actually not really, state sales taxes typically are fairly comparable with income taxes, for instances in Tennessee income tax is 6% of all taxable income,, sales tax is 7%. So the question is does the income of 1400 people who are probably not making THAT much out weigh how many sales Amazon does?

GORANKAR said:
There are a few states that do not have a sales tax. The jobs will end up going to those states. It's the states running the Amazon affiliate jobs out of their state that will be doing the crying.
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More than likely Amazon already has distribution centers/warehouses in those states. So not many additional jobs if any would be created. Like the guy who says come to Montana, the point of having these warehouses is to be closer to where people buy their goods, Montana doesn't exactly fit the bill. I mean they have a place in Nevada specifically for the state of California. If anything this will get the people who transport said goods, US Mail, UPS, etc, a few more bucks because they need to drive a little further.
 
sigvoror said:
Amazon already charges sales tax in Tennessee. I had an order through them last month and got charged sales tax, so how would anything change?
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Could have been an etailer that sells through Amazon rather than Amazon themselves?
 
riggs58 said:
well how come Amazon collects sales tax in Kansas?
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That eazy it is becuases you live with in Kansas
Maybe to solove all the problem there need be a national sales tax for internet goods becuases of all diff state sale tax it be a real pain neck.
 
wtiger said:
If they have a physical presence in the state I side with the state on this one. If they don't I side with amazon. Like it or not though they're going to start changing laws pretty soon requiring online retailers to collect sales tax. They're just getting too big and pulling too much revenue away from the states.
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That begs the question that the states should have such revenue.
 
The real problem is that the government has gone so far beyond what this country's founders intended that they've become as bad as the system that caused a revolt in the first place. "No taxation without representation" has become a joke,elected officials rarely listen to those who they're supposed to represent anymore. They've overloaded the national budget so much by lining their own pockets and those of relatives,friends,and special interests that we'll never get of debt.
 
They will have to operate ships like many casinos do, and just stay in international waters. Have a UPS boat come and pick up packages. :D

Some states will give them a tax haven for the jobs. I can't believe states are killing jobs now when unemployment is so high. I think a lot of retail store lobbying is the reasoning behind this as well, and not just states wanted tax revenue.
 
sigvoror said:
Amazon already charges sales tax in Tennessee. I had an order through them last month and got charged sales tax, so how would anything change?
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I've ordered multiple items from Amazon the last month and I wasn't charged sales tax.

I shop @amazon just bc they don't tax me. NewEgg , of course, does. :mad:
 
michael.pa2 said:
The real problem is that the government has gone so far beyond what this country's founders intended that they've become as bad as the system that caused a revolt in the first place. "No taxation without representation" has become a joke,elected officials rarely listen to those who they're supposed to represent anymore. They've overloaded the national budget so much by lining their own pockets and those of relatives,friends,and special interests that we'll never get of debt.
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While I don't disagree with what you say. You realizes "no taxation without representation" doesn't say without "good" representation.
 
Since I live in WA and have to pay sales tax on Amazon purchases I have zero problems with other states asking the same thing.

The internet is not a new, fragile thing. Amazon is a big boy. Time to pay up like the big boys do. You sell shit in State X, you collect sales tax for state X. They have the system in place to do it as they already do it in other states where they have physical operations.

Share the pain you cheap losers.
 
sfsuphysics said:
While I don't disagree with what you say. You realizes "no taxation without representation" doesn't say without "good" representation.
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Taxes are at their lowest point since 1958. Stop bitching about your taxes.
 
I really don't see the problem here: Amazon is in TN, a TN resident orders something from Amazon, Amazon collects the applicable sales tax...
 
compslckr said:
It just does not make sense to me. Income tax tends to be higher than sales tax, if they could get more people working for a decent wage it seems like they would collect more in taxes. Amazon pays warehouse associates pretty well in comparison to similar workplaces.
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we dont have income tax in TN
 
sigvoror said:
Amazon already charges sales tax in Tennessee. I had an order through them last month and got charged sales tax, so how would anything change?
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i never get charged sales tax from amazon, and i live in nashville. I order EVERYTHING from them and have never been charged tax.
 
Amazon does NOT charge sales tax in Tennessee. I live out side Knoxville; bout 120 miles from Chattanooga. If Amazon builds a distribution center in Chattanooga; then because they run a brick and mortar establishment in the state; they have to charge the state sales taxes to Tennessee residents.
If Amazon wants a pass on this; now that is against the law. It is when Amazon DOES NOT run brick and mortar establishment in certain states and they state wants to shake them down for taxes I'm totally against.

I cannot buy from NewEgg. They have a distribution center in Memphis (near the FedEx hub) and I get hit with sales tax. State sales tax is 9.25% which is a BITCH but Tennessee is one of of the few states that do not charge a state income tax or personal property taxes or the numerous other fees and taxes most states impose in it's citizens. Tennessee is actually one of the most free states in the union for personal tax burden.
If you didn't know the states leaves it up to you to pay your 'consumption' taxes on items you purchase.
If you purchase something out of state and pay no taxes you are suppose to pay 9.25% and "send it in" to the state coffers. BUT since the state has no why of knowing what you purchase (without E-tailers reporting it) I'm sure almost nobody pays these taxes.
Is the state being short changed? NO. By law if the E-tailer does not have a brick and mortar establishment in the state they are exempt from collecting state taxes. The citizens of the state are suppose to voluntarily pay them. Tennessee being the "volunteer" state and all. LOL!!!
 
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