Amazon Battles States on Sales Taxes

" We have some breaking news you can add a whole lot -- to the list of states that Amazon has canceled off its list the Amazon versus the State's list. The online retailer ending its relationship with Rhode Island and South Carolina businesses selling items through its site and that is still -- of course the new Internet sales taxes being adopted in both of those states all of this it's not going to getting on the bandwagon that California might be next. On the chopping blocks of money just has been following the story for us today. Not in the stocking with a lighting capitalists sell higher today. You know Blackwell -- that I know change seated tipping."

" And the state of Rhode Island in North Carolina have done which is -- sales tax on Amazon even though the company doesn't have. A physical presence in those states they have other Internet retailers and that -- taking. On Amazon Amazon's exact scans and just reading here also crossing that Blue Nile is also doing the exact same thing. Avoiding sales tax ending business. In Rhode Island as well as other states is not just Amazon that's going to play this game Amazon is going to really take the lead and -- other retailers to do be exact same thing let me read you. -- research analysts take. On Amazon's web associate and quote. I had been analysts see -- who won't who wrote I can't say that you know blossomed into model says -- I've said it did double edged sword affiliates are nice to have but by no stretch in -- and that the nation are they going to Make or Break. Amazon's website Amazon has a heavy hand here and many analysts are predicting his Amazon doesn't revealed as. That up to 10% of the company's sales are driven by these associates. Website. But Amazon says not seen it doesn't matter we're going to cut and now and we think we're going to be just fine and talent and company upgraded and today saying look. Low prices is what's going to drive customers to the website. And this other stuff is kind of just background so people from California aren't going to stop buying for -- I mean how does this manifest itself up a couple of things than just it just be clear this associate program is not necessarily the retailers it's actually a marketing program this is why Amazon is -- huge stance against says it is a program. Whereby Amazon pays any web -- out there that lets just a little late Amazon link on their website and people clicked it and go to Amazon.com and I. Products and this speech argument is is that when they're buying products so Daryn if there are physical kind of like the hub and spoke model they're spoke out we can -- company. And but on the flip side -- and on -- saying this is a marking this is like marketing and advertising for us this is not physical presence this is not a storm front. And -- seen -- legally I'm hearing -- been in the day though we we talked about it on the news shows that in the Amazon will lose this because basically they're going to have a lot besides the State's bottle on the side but they have to fight it. But it's going to be a losing battle for him right then and there is this is not the end of the story you know there's ten -- us ahead of us. Thank you should my vacation on anything on that story I want to Shays."