A New York state Supreme Court justice threw out Amazon’s sales tax lawsuit earlier today, opening the way for New York to begin collecting sales taxes on Amazon purchases.
Amazon had argued that New York couldn’t require the company to collect sales tax because it would be unfairly targeting Amazon, and would violate the commerce clause of the constitution. According to the Wall Street Journal, the judge said “the Internet company failed to state a claim and ‘there is no basis upon which Amazon can prevail.’”
It looks like as long as Amazon utilizes New York state residents to generate business via its Associates Program, and earns more than $10,000 a year, it’s gonna have to collect the sales tax.
“Amazon loses to NY in suit over online tax haul” [Associated Press]
“Judge Dismisses Amazon’s Challenge to New York Out-of-State Sales Tax” [Wall Street Journal]