I haven’t found a link myself, but Jason Tolbert Twitters this morning that Amazon has announced that it will end its “associates” program in Arkansas because of the new state law that will impose the Arkansas sales tax on sales made through Arkansas associates.
Arkansas retailers have put an Amazon link on their websites and received a commission from sales arising from those links. The new law taxes sales originating in Arkansas, a half step toward the better solution of applying sales taxes in all jurisdictions to all sales, web or otherwise. But this is a solution possible only through federal law. Meanwhile, Walmart and other multi-state operations with both on-line and in-state presences that require tax payment, have been pushing for laws such as that passed in Arkansas.
Here’s an overview of the Amazon battle. If it has pulled out here, it would be in keeping with decisions elsewhere and not unexpected. You can, of course, still order whatever you want directly from Amazon and not pay a sales tax. The Amazon law doesn’t take effect in Arkansas until October.
UPDATE: Still no company news release available, but an Arkansas affiliate has shared the email that Amazon is sending out to Arkansas affiliates, which says the commissioin program will end here July 24: