Internet Commerce

The state of Texas has struck a deal with Amazon.com that will require the online retailer to begin collecting and remitting sales tax to the state for purchases by Texas residents beginning July 1, 2012. 

Last week, Nevada Gov. Brian Sandoval (R) announced the state had worked out a deal with Amazon.com that would continue the online retailer’s sales tax advantage over Main Street businesses for another two years.

In a blow to Illinois’ Main Street retailers, Cook County Circuit Judge Robert Lopez Cepero ruled Wednesday that a law requiring remote retailers with a broad network of online affiliates acting as sales agents in the state to collect and remit sales tax was unconstitutional.

ABA CEO Oren Teicher urged the Massachusetts Department of Revenue to require Amazon.com to collect and remit sales tax on orders made by Massachusetts residents. Teicher’s letter was prompted by news that Amazon.com is opening an office in Cambridge. 

On Wednesday, the U.S. Department of Justice filed a civil suit in district court in New York against Apple and five of the major publishers with agency model pricing for e-books. Three of the publishers have agreed to settle; Apple and the other two publishers appear to be headed for court.

In a letter to members, ABA CEO Oren Teicher discusses Google’s decision to discontinue the Google eBooks reseller program, worldwide, effective January 31, 2013, and provides an update on ABA’s meeting with the Department of Justice regarding agency model pricing of e-books.

The campaign for sales tax fairness continued to heat up this week, with legislative activity in Iowa and Louisiana.

Here’s a roundup of recent developments on the sales tax fairness front in Connecticut, Georgia, Kansas, Maine, Minnesota, Missouri, and New Jersey, as well as a report on ABA’s recent meetings with the staff of key legislators in support of a federal solution.

On Monday, ABA Board members and staff met with representatives of the  Department of Justice in Washington, D.C., to express ABA’s support for agency model pricing of e-books in connection with the Department’s ongoing investigation of e-book pricing terms.

The sales tax equity fight continues in Arizona, despite recent legislative setbacks in the state Senate.