Thread: Amazon offers jobs to avoid collecting Texas sales taxes
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Old 06-22-2011, 11:47 AM   #10
Kali Yuga
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Quote:
Originally Posted by Elfwreck View Post
I don't like the idea of companies being allowed to make contracts with a state to avoid paying taxes....
Corporate tax breaks and abatements are downright routine.

They're almost always done on a case-by-case basis.

At this time, it is not entirely clear that Amazon should be liable for collecting sales taxes.

And let's not kid ourselves, the people who are pushing for Internet-only retailers to collect sales taxes aren't doing it for the good of the nation. It's big retailers like Walmart and Sears, who don't want Amazon et al to have a pricing advantage.


Quote:
Originally Posted by Elfwreck
Also, it looks like they're offering investment/jobs for 3 years, in order to avoid 4.5 years of taxes. Why would the state take that?
a) Getting jobs looks good
b) Hiring 5000 locals spreads the wealth a little bit -- e.g. those individuals pay taxes, buy food, pay rent and so forth, that stays local
c) Amazon will close its TX distribution center and otherwise continue to fight rabidly to avoid paying sales taxes (i.e. either TX gets 5000 jobs, or a big legal bill and nothing)
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