June 27, 2009
A new tax aimed at affiliate marketing hasn’t even been passed in Hawaii or North Carolina, but Amazon.com took pre-emptive action this morning by announcing that it’s dropping affiliates in those two states effective immediately. Amazon acted now because the pending legislation isn’t clear about when the dates for which the new law, if passed, would establish a nexus.
The bad news doesn’t end there. California and other states are considered similar legislation, and Amazon.com has already indicated it may also be dropping California affiliates in a move that, industry insiders fear, could cause a wider dropping of affiliate relationships.
This legislation – and the actions by Amazon.com today – have the power to profoundly and negatively affect our industry for years to come. We urge all affiliates to join the fight to stop affiliate tax legislation. To get involved, visit the Performance Marketing Alliance website today. The PMA is leading our industry on this issue. It’s your livelihood at stake – so please get involved today!
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