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Amazon.com Will Collect State Sales Tax in 2013

The Internet retailer said the collection would begin in time for next year's holiday shopping season.

 

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.

"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."

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."

Will this change how you shop online? Tell us in the comments.

Fred Van Magness Sr. December 12, 2012 at 05:45 PM
The state won by getting more revenue and the consumer lost by paying more. Since the governor isn't claiming this was purely for revenue purposes (it was....forget the baloney about leveling the playing field for Main Street), I suggest the state devote the entire revenue increase to local aid OR reduce the current sales tax rate from 6.25%. Oh, I forgot, the governor doesn't reduce taxes...... Maybe rep. Jones will file a few bills to direct the revenue to local aid or reduce the sales tax for all.
Tom Jeffords December 12, 2012 at 06:19 PM
This story has been covered in all the state-wide media. The Patch should provide coverage to issues that are specifically targeted to North Reading and Reading.

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