Amazon Associates Program discontinued in California
TweetFollow Us on Twitter

Amazon Associates Program discontinued in California


The Amazon Associates Program (http://macte.ch/ZoW3J), one of the first online affiliate marketing programs, is being discontinued for California due to a proposed law that imposes the collection of taxes from consumers on sales by online retailers.

The Amazon Associates Program developes solutions to help website owners, Web developers, and Amazon sellers make money by advertising millions of new and used products from Amazon.com and its subsidiaries, such as Endless.com and SmallParts.com. When website owners and bloggers who are Associates create links and customers click through those links and buy products from Amazon, they earn referral fees.

The California State Assembly has passed and referred to the state Senate a bill that requires online and catalog retailers to collect sales tax if they have in-state physical operations, including those operated by sister companies. The bill, introduced by Assemblyman Charles Calderon (Democrat) seeks to clarify when retailers come under existing federal law that allows a state to require direct-to-consumer retailers to collect sales tax, according to "Internet Retailer" (http://macte.ch/Q7od3).

The measure specifies that any in-state physical presence, such as stores or distribution centers, even if owned by a subsidiary, qualifies as nexus, the legal term for a physical presence that imposes the tax-collection obligation. Some retailers, including Amazon, attempt to avoid the sales tax requirement by contending that their distribution facilities, for example, are operated by a separate subsidiary not directly tied to their retailing operation.

The following letter from the Amazon Associates Team has been sent regarding the matter:

"For well over a decade, the Amazon Associates Program has worked with thousands of California residents. Unfortunately, a potential new law that may be signed by Governor Brown compels us to terminate this program for California-based participants. It specifically imposes the collection of taxes from consumers on sales by online retailers -- including but not limited to those referred by California-based marketing affiliates like you -- even if those retailers have no physical presence in the state.

"We oppose this bill because it is unconstitutional and counterproductive. It is supported by big-box retailers, most of which are based outside California, that seek to harm the affiliate advertising programs of their competitors. Similar legislation in other states has led to job and income losses, and little, if any, new tax revenue. We deeply regret that we must take this action.

"As a result, we will terminate contracts with all California residents that are participants in the Amazon Associates Program as of the date (if any) that the California law becomes effective. We will send a follow-up notice to you confirming the termination date if the California law is enacted. In the event that the California law does not become effective before September 30, 2011, we withdraw this notice. As of the termination date, California residents will no longer receive advertising fees for sales referred to Amazon.com, Endless.com, MYHABIT.COM or SmallParts.com. Please be assured that all qualifying advertising fees earned on or before the termination date will be processed and paid in full in accordance with the regular payment schedule.

"You are receiving this email because our records indicate that you are a resident of California. If you are not currently a resident of California, or if you are relocating to another state in the near future, you can manage the details of your Associates account here. And if you relocate to another state in the near future please contact us for reinstatement into the Amazon Associates Program.

"To avoid confusion, we would like to clarify that this development will only impact our ability to offer the Associates Program to California residents and will not affect their ability to purchase from Amazon.com, Endless.com, MYHABIT.COM or SmallParts.com.

"We have enjoyed working with you and other California-based participants in the Amazon Associates Program and, if this situation is rectified, would very much welcome the opportunity to re-open our Associates Program to California residents. We are also working on alternative ways to help California residents monetize their websites and we will be sure to contact you when these become available."

 
Community Search:
MacNews Search:
See All
view counter

view counter
view counter
view counter
view counter
view counter
view counter

Rodeo Stampede guide to running a better...
In Rodeo Stampede, honing your skills so you can jump from animal to animal and outrun the herd as long as possible is only half the fun. Once you've tamed a few animals, you can bring them home with you. [Read more] | Read more »
VoxSyn (Music)
VoxSyn 1.0 Device: iOS Universal Category: Music Price: $6.99, Version: 1.0 (iTunes) Description: VoxSyn turns your voice into the most flexible vocal sound generator ever. Instantly following even subtle modulations of pitch and spectral changes of your voice VoxSyn creates signature vocal sounds far beyond traditional vocoding. | Read more »
Catch Battleplans on Google Play from Ju...
Real-time strategy title Battleplans is due for release on Google Play on June 30th, following its release for iOS systems last month. With its simple interface and pretty graphics, the crowd-pleaser brings a formerly overlooked genre out for the masses. [Read more] | Read more »
iDoyle: The interactive Adventures of Sh...
iDoyle: The interactive Adventures of Sherlock Holmes - A Scandal in Bohemia 1.0 Device: iOS Universal Category: Books Price: $1.99, Version: 1.0 (iTunes) Description: Special Release Price $1.99 (Normally $3.99) | Read more »
Five popular free apps to help you slim...
Thanks to retail and advertising, we're used to thinking one season ahead. Here we are just a week into the summer and we're conditioned to start thinking about the fall. [Read more] | Read more »
How to ride longer and tame more animals...
It's hard to accurately describe Rodeo Stampede to people who haven't seen it yet. It's like if someone took Crossy Roadand Disco Zoo and put them in a blender, yet with a unique game mechanic that's still simple and fun for anyone. [Read more] | Read more »
Teeny Titans - A Teen Titans Go! Figure...
Teeny Titans - A Teen Titans Go! Figure Battling Game 1.0.0 Device: iOS Universal Category: Games Price: $3.99, Version: 1.0.0 (iTunes) Description: Teeny Titans, GO! Join Robin for a figure battling RPG of epic proportions!TEENY COMBAT | Read more »
NinjAwesome: Tips and tricks to be a mor...
Sorry about that headline, but I'm going to go ahead and assume that GameResort would not have named its game NinjAwesome without expecting some of that. It is, in fact, pretty awesome the way it combines an endless runner and old school arcade style action, so the adjective is properly used here. [Read more] | Read more »
Into Mirror (Games)
Into Mirror 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: "Is all that we see or seem, but a dream within a dream?"- Edgar Allan PoeNew game by Lemon Jam Studio, the team behind Pursuit of Light.The year 2076.Mirror - a virtual world , has completed public beta , and officially entered... | Read more »
Perchang (Games)
Perchang 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: Welcome to Perchang! A test of skill and puzzle solving across 60 stunning levels. | Read more »
All contents are Copyright 1984-2010 by Xplain Corporation. All rights reserved. Theme designed by Icreon.