Hate it for you guys in North Carolina that are trying to make a buck with Amazon. Your state legislature is set to
enact an unconstitutional tax collection scheme that would leave Amazon.com little choice but to end its relationships with North Carolina-based Associates.
Amazon then scolds the affiliate for not taking action to contact the their representatives to put a stop to this crap:
The unfortunate consequences of this legislation on North Carolina residents like you were explained in detail to key senators and representatives in Raleigh, including the leadership of the Senate, House, and both chambers’ finance committees. Other states, including Maryland, Minnesota, and Tennessee, considered nearly identical schemes, but rejected these proposals largely because of the adverse impact on their states’ residents.
TN did the right thing. I contacted my rep and let her have an earful that these types of tax schemes would hurt the state more than help. I would lose quite a lot of revenue if I wasn’t able to participate in affiliate marketing. I don’t make a lot from Amazon but if Amazon is pulling out so could others. They could either stop the tax scheme and benefit from me spending the money or we could both lose. More states than not have come to the conclusion that it was bad business if all these companies stop allowing their affiliates to participate in their program. The states either get a little bit or they get nothing. The government in N.C. must simply be stupid.
On the positive side states like N.C. just eliminated a bunch of competition for the benefit of me and my state of TN.
Here’s the thing: If you don’t start paying attention to the politics that is swirling around you, particularly given that many states are on the verge of bankruptcy, you are going to lose. Politicians listen if they are contacted. They crave re-election over anything. I don’t know if anyone raised the issue in N.C. but those affiliates should be protesting in the streets if they care enough.
Here is the link to the blog that posted this with tips for what you can do in the comments.
{ 9 comments… read them below or add one }
Besides trying to flip the law, I wouldn’t see there is much else you can do other than just move away and find a new state to populate.
fight. The people in this country have to start fighting instead of rolling over to big government.
So right about the politics… It’s getting crazy over here in California with the state being on the verge of bankruptcy.
Did you ever start that blog on politics?
Chrrisst…and I was just thinking about moving there…. I can’t leave my marketing behind. The NC legislature really is stupid. Thanks for the heads-up.
Write to every state government representative you can find. Organize or find groups already organized to protest this and fight it. Do whatever you have to do.
Moving is only a short term solution, because if this happens in one state, it will soon be a few states, and then a few more, and before you know it all the states.
Ah yes. The wonderful NC legislature.
Two speakers of house gone for criminal and ethical reasons. The legislative body of the NC government, has, well, a less then stellar record when it comes to ethics. Anything these clowns do is not surprising these days..
The NC legislature is now considering, or will pass in the future a mileage tax on cars. How will that come about you might ask?
You will charged for ever mile you drive. Something like a quarter cent. If you go over a certain amount of miles, say 3000, you will be charged a higher amount. I think – a full penny.
First, they will collect the mileage funds when you go through inspection, or when you get your registration renewed.
Then, if things go well, then they might put a state mandated GPS in your car to record your mileage and then send you a bill at the end of the year.
I think they tried this as a pilot program in Oregon. Dont’ know if it is a permanent thing or not. See here..
FOXNews.com – Oregon Exploring Mileage Tax Instead of Gasoline …
http://www.foxnews.com/story/0,2933,475507,00.html
And here..
Oregon mileage tax program
shows how to do it right!
http://www.autobloggreen.com/2009/04/06/oregon-mileage-tax-program-shows-how-to-do-it-right/
And of course, NC is considering it…
Vehicle Mileage Tax Proposal: What Does It Mean? – WGHP
http://www.myfox8.com/news/roadrules/wghp-road-rules-vmt-tax-090310,0,3460964.story
Also, I don’t think that they will never replace the gas tax with the mileage tax in NC, which is already one of highest in the country.
They will keep both. I just don’t think Democrats – who control the NC legislature – will want to do it in 09. The economic downturn probably has them a little leary of “springing” a new tax on the population.
NC is getting like my old homestead of New Jersey. Deep in debt and trying to find new ways to soak the tax payer. Looks like it might be time to move to “middle Tennessee”..
I just never been able to wrap my head around why – in either here in NC, or NJ, why people vote for the same party every time?
Like Einstein said” “Insanity is doing the same thing over and over again and expecting different results”..
You would think that since the Democrats have run both NC and NJ forever why not give the Repub’s a try? Just once..
I am not for party politics, but hey, what have you got to loose? You are already taxed and spent to the hilt anyway. Why not take a shot with a Republican legislature and Governor at the helm?
It just seems to be the same story, over and over. Governments spend, people get taxed, then they put the same people in charge when they go to the voting booth..
It will probably be the same come the Mid Term federal congressional elections in 2010. Some really incompetent politicians will be sent back to Washington. We are in a world of political hurt, no matter what state you live in..
Where is that change I can believe in? (LOL)..
Robert C – The Wholesale Products Guy
Hi Splork,
Do you think this will kill affiliate marketing?
http://tech.yahoo.com/news/ap/20090621/ap_on_hi_te/us_tec_bloggers_freebie_disclosures
FTC plans to monitor blogs for claims, payments
and freebees.
On the Net:
Proposed FTC guidelines:
http://www.ftc.gov/os/2008/11/P034520endorsementguides.pdf
I don’t think so. Some of the marketers they interviewed were taking it to extremes to include promoting a book you liked at Amazon. I think it might actually be helpful in that people will actually know if the people writing reviews are being compensated in some to write the thing. I think if you are honest (I know, crazy thought in IM) there won’t be anything to worry about.
“So if I understand this right, because I live in North Taxolina, whenever someone in another state clicks on an affiliate link on my website that is hosted on a server in another state, and buys something shipped to them from yet another state, with none of the transaction, data or merchandise actually passing through North Carolina, they expect to collect a tax above and beyond the income tax I pay on my affiliate income simply because I, the website owner, live in North Carolina?
Yep, that sounds unconstitutional to me.”