While Amazon has tried to resist collecting state sales taxes, over the last few years it has had to bend, state by state, and collect them.
Now CNBC is reporting that as of April 1st, it will collect sales taxes in every state that imposes one, when Hawaii, Idaho, Maine and New Mexico join the list. It sucks, but we will all be paying these taxes on Amazon.
Even if Amazon or any other online retailer doesn’t collect sales tax, consumers may have to pay via a “use tax.” For companies like Amazon, however, who are bringing warehouses, services and data centers closer to where customers live, this has closed the loophole, and they’ve been collecting the tax on their end. As you can imagine, between the taxes and universal pricing policies, the gap between Amazon and local retailers is getting smaller. Now you have to pay.
So yes you will have to pay state tax, but with the convenience of Amazon Prime and the addition of other services like Fresh, Local, and others, it may still be worth shopping with Amazon. Death and taxes are said to be life’s only certainties and here, it looks like taxes win again.