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Amazon Pulls Affiliate Program Out of North Carolina

By Anna Johnson on June 29th, 2009

Amazon recently wrote to North Carolina based members of its Amazon Associates affiliate program informing them that the Associate Program would be discontinued in North Carolina.

Amazon’s decision comes as a result of the North Carolina government passing laws to impose state tax on ‘digital click-throughs’ – including sales made by virtue of people clicking on a North Carolina resident’s affiliate link.

The new law is part of an effort to address a $4.7 billion gap in North Carolina’s state budget. Apparently, the ‘click-through tax’ is expected to raise $13.2 million next year and $17.8 million per year after that.

Hmmm… I wonder whether this estimate takes into account Amazon and potentially other merchants pulling their affiliate programs out of the state…

Source: MG Siegler, “Amazon Associates To Pull Out Of North Carolina Due To “Unconstitutional Tax Collection Scheme,” TechCrunch, June 17, 2009

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4 Responses to “Amazon Pulls Affiliate Program Out of North Carolina”

  1. Bill in Detroit Says:

    Rather than ‘suck it up’ like the rest of us, government only has to pass new taxes to cover stupid spending.

    <—– NOT a happy camper.

  2. Anna Johnson Says:

    I’m with you, Bill. The Government makes dumb decisions… and the very people who create jobs and generate wealth have to pay for the bureaucrats’ mistakes? Unfortunately, an all-too-common occurrence…

  3. DonGraff Says:

    …( Can you say ‘Mafia’?…)
    In our State, one politician had the guts to say the obvious:
    ” We want Our Share…” He made the headlines with that statement.
    ( That honorable gentleman was referring to casino taxes & fees )

    ” Our Share “… To the Govts. I say: When did you ever create a product?, When did you
    launch a new idea?, What have you exported on a ship lately?…
    …Nothing.

    So lets check the ‘scoreboard’:

    Massachusetts: Free car given to homeless people, with paid liability insurance
    New York City: Homeless families provided with $90/day apartments, w/marble floors
    Texas: Unemployed illegal alien with (3) kids receives $1,200 in cash & food / month

    Now I’ll get personal:
    Mobile phone: 18% taxes & fees
    Business phone: 22% taxes & fees
    Water bill: 16% taxes & fees
    Gallon of Gas: 54 cents Fed & State taxes
    Cigarettes: $20 a carton Fed & State taxes
    Loaf of bread: 43 cents Federal (didn’t know that?…)
    Car Tire: $11 Fed & State taxes
    USA Passport: $105 Fed (used to be $55 (4) years ago…)
    Airline Ticket: (One-Way) $22 Fed & State fees
    Motel Room: 18% Fed & State taxes

    Today, not tomorrow. Purchase the book “Thidwick The Big Hearted Moose” by Dr Suess ”
    Go to a bookstore & pay full boat (including your State Sale Tax…)
    Written in (1948)… it’ll open your eyes

    To North Carolina: VPN & Proxy is free of charge…

  4. Dave Hale Says:

    The government does in fact make dumb decisions. People just need to man up.

    Keep the good info coming.

    Chris Moniz
    VP Marketing, Internet Marketing Professor
    http://www.drdavehaleonline.com

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