iTuning the Peach

Did you notice? no word on the actual revenue coffered by New York State from their ‘Amazon tax‘? What gives? And what of the new bill repealing the Amazon tax, vaporized?

The Britannica states:

“Although taxes on nonessential or “luxury” items are politically popular, luxury consumption is difficult to define for tax purposes. Often such taxes raise complex administrative problems while generating little revenue.”

Fact is there isn’t going to be any millions as New York State projected, online retailers pinkslipped their affiliate partners residing in New York State in June 2008. Who’d a thunk, Karmaloop and Gaiam pinkslipped me in May 2008.

“The logic behind the so-called “Amazon tax” is that New York-based affiliates qualify as a “physical presence” and therefore internet retailers with New York-based affiliates should be taxed by the state.” New York Golden Snowball Awards had other insights on the law, here.

New York State does not tax New York State advertising and marketing agencies for their out-of-state client’s customer sales. New York City differentiates nexus for them and creates discrimination against a class of marketers, affiliated marketers.

Why is New York State not in deep doo doo right now?

Because a whole bunch of online retailers pinkslipped their New York State partners.

Want to know which retailers caved on their affiliate partners

residing in New York City?


Affiliate Future Affiliates

Commission Junction Affiliates

Linkshare Affiliates

Performics Affiliates

Shareasale Affiliates

Collectors’ Choice Music

Binoculars.com

Acorn Media

Brecks

4Checks

Deep Discount

Bodybuilding.com

Amerimark

Garden’s Alive

Celebrate Express

Spilsbury

Cafepress

Baby Universe

Gurneys

Checks Unlimited

Checks In The Mail

CCVideo

Henry Fields

CSN Stores

Compact Appliance

eToys

Leaps And Bounds

Luggage.com

DVD Planet

Fingerhut

Michigan Bulb

Geeks.com

Gaiam.com

One Step Ahead

J&P Cycles

Karmaloop

Red Envelope

Jewelry Television

KB Toys

Spring Hill

Justflowers

LampsPlus

Musicians Friend

LinenSource

Ritz Camera

MyTwinn

ShoppersChoice

OnlineShoes.com

Silhouettes

Oriental Trading

Tirerack

Overstock

Eastwood Company

ShopNBC

Northern Tool

Thompson Cigars

uBid.com

Backcountry.com

Footsmart

ReStock It

Reference: Squidoo

Not all out of state retailers wimped out on their affiliates. Non-cavers adopted rebuttal policy based upon the new tax laws rebuttal clause:

“A seller may rebut the presumption that it is soliciting sales in New York State through resident representatives. For purposes of administering the new presumption, the Tax Department will deem the presumption rebutted where the seller is able to establish that the only activity of its resident representatives in New York State on behalf of the seller is a link provided on the representatives’ Web sites to the seller’s Web site and none of the resident representatives engage in any solicitation activity in the state targeted at potential New York State customers on behalf of the seller.”

iTune?

Yes. There is a proposed “iPod Tax” by New York State in progress. Not having proved any success or positive bearing from the “Amazon tax”, they proceed like a Peach to further their illegal taxation. Come tax time, New York State will be missing some 10,000+ or more affiliate income for taxation. Peachy.

Governor Paterson is a Peach!

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