Sales Tax on New York Affiliates

Posted on 22 April 2008 in Affiliate Marketing by David Tan, Affiliate

Read this interesting article which says that if you are an affiliate with web sites that are based in New York and your website generates referral sales for Merchants (Online retailers) based outside New York, then these online retailers are require to collect a 'SALES TAX' from the affiliates.

Why? Because they want to raise 50 million for the state of New York.

Now, this is news that you want to keep up with because of the fear that this will cause ripple effects like more cities adopting this tactic.

They want to classify affiliate web sites as a 'brick-and-mortar' presence, allowing it to be taxable.... which makes no sense whatsoever because there's nothing 'brick-and-mortar' about it. Your website is as digital and online as it gets.

More so perhaps Amazon is a particularly lucrative target and affiliates everywhere else will be caught in the crossfire.

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