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Engines Starting

As we are all caught up in the hectic days of fourth quarter, we should not forget that we also need to be preparing.  Like it or not, legislators are not only talking about introducing legislation they are preparing.

From Florida to Massachusetts to California, states are laying the groundwork to introduce legislation to modernize sales and use tax. While you may think you have a lot of time, action is closer than you think.  For example, California has set a hearing date for AB178 – that date is January 11. ( AB178 update ) Other legislators in other states are also talking and researching. Some states are already in emergency sessions discussing budgets.

Some revenue departments are also receiving guidance from sister states.  States with current modern nexus laws are sharing their “success” stories. North Carolina is talking to South Carolina regarding online sales tax. Legislators are talking –  in Florida, Missouri, South Carolina, Hawaii, Connecticut, Minnesota, Tennessee, Maryland and on and on.

There is a lot you must do now to prepare, especially if you are an affiliate. Not even talking about fighting the legislation.  If you are an affiliate marketer you need to prepare your business model.

Reminder, our call Prepare for Nexus Legislation is next Tues, December 8. I urge you to join us as we share tips on how to prepare your business for possible legislation and how to help ensure legislators are educated about the impact. Remember, preparing is not panicking.

{ 2 comments… add one }

  • Trisha Lyn Fawver December 3, 2009, 7:02 am

    I’ll be on the call taking notes; I’m kind of surprised (and yet not) that AB178 will be back in January and plan to head up to Sacramento to follow what happens and see what I can do.

  • Mark Welch December 15, 2009, 9:18 pm

    Remember that the author of AB178 promised to amend the language to “clarify” that it would apply “nexus” only for merchants who use a specific type of advertising, not all advertising (as the original absurdly-overbroad language provides). I assume that the promised amendment, like the original bill, would be written by the booksellers’ lobbyist. But I also suspect that these “promised amendments” won’t actually happen, because by maintaining the identical language as the New York law, California can expect to “piggyback” on the results of appellate litigation over that law (so that if the law is upheld in New York, California might avoid the expense of constitutional litigation in federal court).

    I don’t expect to allocate any time to dealing with the bill this winter.

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