If you’ve been following the online sales tax saga then you probably know that Amazon has done all they could to avoid collecting taxes. They’ve even gone so far as to cut off affiliates in CO, CT, Ill, and a number of other states just to avoid the expense. In fact, this issue has grown so large that senior managers from Amazon have even testified in front of Congress concerning a national law which would settle the matter.
The latest addition to the tale comes from South Carolina, and it’s a rather odd twist. As part of their plans to open a new warehouse in SC, Amazon was almost required to collect sales tax from customers in the state. It looks like they ducked the obligation by offering a compromise.
Instead of collecting the SC state sales taxes, Amazon sent out notice this past week. They told all their customers in the Palmetto State that the customer was obligated to pay the tax on their online purchases. Technically they have to pay a use tax, not a sales tax, but it comes to the same thing.