Web Guy 303

Some more news in the continuing affiliate taxation saga among states and large online retailers!

California and Hawaii have assured Overstock.com that proposed tax laws that would affect affiliate marketing won’t be happening.

Overstock.com Inc. (OSTK) reversed its decision to drop its California and Hawaii-based marketing affiliates after receiving assurance from the states that their online-tax bills won’t become law.

Lawmakers in several states have passed or are preparing to pass legislation that would require companies to collect sales tax if they have marketing affiliates in the state. Affiliate marketers run blogs or Web sites and get a sales commission by featuring links to outside e-commerce sites.

Following in the footsteps of rival Amazon.com Inc. (AMZN), Overstock on Tuesday canceled its relationship with affiliates in California, Hawaii, North Carolina and Rhode Island, before backtracking on California and Hawaii. Amazon has dropped its affiliates in three of the states and warned about California.

Read the rest here.

Related posts:

1. Hawaii Affiliates Now Dropped By Amazon
2. Amazon Now Dropping Rhode Island Affiliates to Avoid Tax
3. Affiliates: Amazon Threatening Cuts Over State Taxes
4. Online retailers & states battling over tax rules
5. Amazon.com not caving in to North Carolina