Politics & Government

Amazon.com Will Collect State Sales Tax in 2013

What do you think of Gov. Deval Patrick's deal with the massive online retailer?

Checking out at Amazon.com will be a little pricier starting next November.

Gov. Deval Patrick's office announced the deal Tuesday, stating the company would be adding jobs to Massachusetts in the next few years, WBZ reported.

Amazon.com and Patrick said they would work together to support a federal bill allowing individual states to collect sales tax in states where they have no physical location.

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"I value the contributions large and small employers alike make to Massachusetts' economic vitality, and this agreement captures that," Patrick said in a statement. "We are thankful Amazon was willing to come to the table and we will continue our conversations with them about creating jobs here. This agreement is a win for all sides, and I am pleased it promises to generate millions in long-term revenue for the commonwealth."

A group of mayors, including Malden mayor Gary Christenson, signed a letter earlier this year urging the governor to strike a deal. 

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“Let’s level the playing field for our small businesses which are the lifeblood of our local communities," Christenson said at the time. 

Massachusetts Secretary of Administration and Finance Jay Gonzalez said while he's pleased with the progress, that to receive the full benefit of the taxes paid, the feds have to act.

"I appreciate Amazon’s willingness to work with us to reach an agreement that will benefit both the commonwealth’s businesses and Massachusetts taxpayers," said Gonzalez. "However, Massachusetts and other states will receive the majority of the revenue owed only when Congress passes federal legislation, and we encourage Congress to act."

What do you think of the deal? Will this affect your online shopping this holiday season? 


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