Tax & Accounting Blog

Connecticut Latest to Consider an Amazon Tax

Indirect Tax, Sales and Use Tax, Sales Tax Nexus, Tax Information Reporting April 12, 2011

Connecticut has officially joined the ranks of states considering an Amazon Tax. The Finance, Revenue and Bonding Committee voted 38-14 on Thursday to adopt HB6624, an  “Amazon Law” patterned after a similar bill enacted in New York three years ago.

If the legislation is passed as introduced the definition of retailer would be amended and any business with more than $2000 in annual sales generated through Connecticut affiliates would have nexus in Connecticut and be required to collect tax.

Last year the Finance panel adopted a similar bill, however the full legislature opted not to act on it.