Finally, it appears as though the legislation still wouldn't affect online retailers who don't have the proverbial «physical presence» that allowed Amazon to
avoid collecting sales tax in US states; this would not only strengthen Amazon's power to provide cheaper books to citizens in Quebec, but would also prevent the retailer from ever building a distribution center or affiliate relationships in the province.
The company has been criticized for waging an expensive state - by - state battle to
avoid collecting sales taxes, and more recently for skimping on air conditioning in its East Coast distribution centers during a brutally hot summer.
Not exact matches
This week, it faces the U.S. Supreme Court in an effort to maintain a 1992 ruling that allows e-commerce companies to
avoid collecting local
sales taxes in some cases.
Part of this might be the company's desire to
avoid having a legal connection to certain states, so it doesn't have to
collect sales tax.
Similarly, the Amazon CEO is unapologetic about a strategy that for years
avoided collecting state
sales taxes in locations where Amazon didn't have retail - oriented operations.
In order to
avoid paying back
sales taxes along the lines of $ 269 million, Amazon agreed to build the new facility and therefore (in accordance with the ruling) begin
collecting sales tax from Texas customers.
An auctioned cap or a
tax with 100 % return of the proceeds to the people is the most practical policy for several reasons: (a) it would begin real carbon reductions quickly; (b) it would be an honest and transparent way of treating the American people; (c) it would attract the broadest attainable political coalition across party lines; (d) it would be administratively simple for both the government and the private sector (with the
tax or auctioned permits
collected at the first point of
sale or import of the carbon - containing fuel); (e) it would be a non-regressive way of introducing the carbon price into the economy; and (f) it would
avoid a fiasco such as the special interest feeding frenzy that surrounded the recently failed Boxer - Lieberman - Warner bill in Congress.