Taxing the internet
Trying to make up for budget short falls, NC legislature has a bill that is fore-casted to be signed in the next 2 weeks. This will directly impact residents generating revenue from Amazon affiliate programs. A local CEO is attempting to fight the battle here.
A little background on the economic impact of taxing the internet.
Directly from the bill:
A retailer is presumed to be soliciting or transacting business by an independent contractor, agent, or other representative if the retailer enters into an agreement with a resident of this State under which the resident, for a commission or other consideration, directly or indirectly refers potential customers, whether by a link on an Internet Web site or otherwise, to the retailer, if the cumulative gross receipts from sales by the retailer to purchasers in this State who are referred to the retailer by all residents with this type of agreement with the retailer is in excess of ten thousand dollars ($10,000) during the preceding four quarterly periods. This presumption may be rebutted by proof that the resident with whom the retailer has an agreement did not engage in any solicitation in the State on behalf of the seller that would satisfy the nexus requirement of the United States Constitution during the four quarterly periods in question.
