As you may already be aware, the State of California is again considering “affiliate nexus” language in their budget which could be voted on as early as one week from today.
The importance and urgency can’t be emphasized enough: your business is under attack, and your livelihood is threatened.
The Issue
California is attempting to define its resident affiliates as having a sales presence for out-of-state merchants. Therefore, these out-of-state merchants would now be responsible for collecting sales tax from California consumers. Many online merchants cannot afford that expense, and will need to end their affiliate programs with affiliates in California. This already happened in New York.
We strongly encourage you to contact your local representatives, and have crafted a sample letter which you could use to email or fax your local representative – you can add your own personal story and be a big help to the overall cause with your actions.
Sample letter:
http://blog.shareasale.com/wp-content/uploads/2009/06/OppositionLettertoCANexus.doc
Fact sheet on California and how many businesses are affected:
http://blog.shareasale.com/wp-content/uploads/2009/06/CaliforniaFactSheet.pdf
How to find the Assembly Member for your district:
http://www.assembly.ca.gov/clerk/MEMBERINFORMATION/memberdir_1.asp
By working together, and taking action, we can make a difference. Please take action immediately. The best way to defeat this legislation is to let your state senator know how this will devastate your business.
Thank you for your time,
Brian Littleton
President/CEO ShareASale.com, Inc.
This post was tagged with: #advertisingtax, #affiliatetax