[lbo-talk] Dean Baker on how Amazon's tax subsidy > its profit

Gar Lipow the.typo.boy at gmail.com
Fri Nov 2 10:25:05 PDT 2007


On 11/2/07, Miles Jackson <cqmv at pdx.edu> wrote:
> Huh? I recently moved to Washington State, and state sales tax was
> included in my Amazon order last week (a MP3 player for my daughter's
> birthday). Does it work differently in different states?
>

Yes it does, fellow Washington State resident. Amazon is headquartered in Seattle. Thus Washington State residents have to pay sales tax on Amazon purchases. But not residents of the other 49 states. (It may be the destination of the purchase rather than the residency of the purchaser that counts. Washington State law on this is weird and I don't remember the details. But being in, or shipping to the State Amazon is located in makes the difference.) This applies to other states too. Internet purchases from an internet dealer in the purchasers state voids the sales tax exemption.



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