California Amazon Internet Sales Tax Referendum Gaining Momentum
Despite radio commercials that try to scare voters not to sign ballot petitions, signatures calling for a referendum on the so-called Amazon tax law requiring out-of-state Internet companies to collect sales taxes from California buyers are piling up. The necessary signatures to put the referendum on the ballot will likely be in hand well before the 90-day deadline.
The eager response on an opportunity to stop a tax comes at a time when tax talk may come back to the state capitol. Hoping for new revenue, the state budget included a failsafe — a trigger to be pulled mandating further cuts if billions in expected revenue does not show up.
Given the condition of the economy and the recent gyrations of the stock market concern is that the hoped-for money will not materialize. A rumor circulated around the Capitol yesterday that to avoid the “trigger” cuts, the governor might call a special legislative session focused on taxation.
The recently passed California Budget is a joke and based on false assumptions, including Amazon Internet Sales Taxes. There is little doubt that some adjustments will have to be made by the Governor and California Legislature since Amazon will not be collecting and remitting any taxes pror to the October 1 deadline (since by obtaining the necessary signatures, the tax is suspended.)
Whether the rumor has any validity or not, the rapid collection of signatures on the Amazon referendum sends a clear message — taxes are not welcome.
True, Amazon.com has invested $3 million in the signature effort and some argue that the financial support is what is driving the successful signature gathering.
However, the uncertainty over the economy has voters lining up to sign the petitions. As one voter said, ‘Saving $5 in taxes buys me another gallon of gasoline.’
Look for Amazon.com qualifying the referendum in record time and next June, Californians will vote on the issue – repealing the tax. One other interesting fact is that next June may see a record GOP turn out since it is possible that with a multi-candidate GOP Presidential Primary field, California will determine the Presidential nomination.
Note, the tax was sponsored by FAR LEFT Legislative Democrats at the behest and support of Wal-Mart, Barnes and Noble and Target.
We will see if those corporations will want to team up with the LEFT (haven’t they opposed Wal-Mart store construction across California) to campaign against their Republican customers.