Arizona Tries To Shake Amazon Down For $53 Million In Sales Tax

The burden of state sales tax continues to plague Amazon. Groups of states hold Amazon to different standards when it comes to collecting the tax. While some disagreements end amicably — such as the company’s January deal with Indiana that it will have to start collecting state sales tax in 2014 — other states are a bit more confrontational.

According to The Wall Street Journal, Arizona billed Amazon for $53 million in uncollected state sales tax from 2006 to 2010. Amazon reps say the invoice, sent in November, is bogus. Arizona’s invoice echoes a similar maneuver by Texas, which hit Amazon up for $269 million. Amazon’s reaction? Shutting down a Dallas warehouse.

At some point it would be helpful for all parties if online retailers and state governments worked out a uniform way to handle the state tax issue. Don’t count on that happening any time soon.

Arizona to Amazon: About That Sales Tax… [The Wall Street Journal]