Amazon Tries New Tactic to Avoid Charging Californians Sales Tax

America’s largest online bookseller has been fighting tooth and nail with California lawmakers over recent legislation requiring Amazon to collect sales tax from California customers. They’ve been bankrolling a campaign to repeal the new law, circulating petitions, and defying the order to charge customers the tax.

But on Tuesday the company made a more conciliatory offer. The LA Times reports that Amazon has offered to “drop its effort to repeal the sales tax collection law on the June 2012 ballot. Amazon also would build build two fulfillment centers, one in Northern California and one in Southern California, with approximately one million square feet of floor space and 1,000 employees.” In exchange, lawmakers would not require Amazon to collect sales tax until at least January of 2014.

But legislators, eager to squeeze the California taxpayers for every cent they can, are unlikely to accept Amazon’s offer.

Publish date: September 1, 2011 © 2020 Adweek, LLC. - All Rights Reserved and NOT FOR REPRINT