The move by Amazon.com yesterday to fire its Colorado-based affiliates caught a lot of media attention, and understandably so. The first concern for many people was how the Internet giant's move would affect people whose income is at least partly reliant on commissions from Amazon.
Amazon said it fired its Colorado affiliates in response to a measure the Colorado Legislature passed recently that requires all Internet retailers to collect sales tax or at least alert their customers to the sales tax liability associated with a purchase. The move was perplexing to many observers, including analysts at the Colorado Fiscal Policy Institute, because firing Colorado-based affiliates has no effect on Amazon's obligations under the new law.
That point was reflected to varying degrees in the news coverage. Here are links:
The Denver Post: Amazon.com drops Colorado retailers after tax law enacted
Denver Post commentary: Hickenlooper missed his chance on Amazon tax
The Associated Press via the Boulder Daily Camera: Amazon cuts off Colorado affiliates because of new Internet tax
Colorado News Agency via Denver Daily News: Amazon pushes back after state moves to tax online sales
Colorado Independent: Amazon's baffling response to Colorado's web sales tax suggests a legal strategy
Coloradopols.com: A Lesson To The Others
Denver Business Journal: Amazon.com to drop Colorado affiliates in response to tax law
Durango Herald: Amazon fires Colorado marketers
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