California shoppers on Amazon.com must begin paying sales tax Saturday.
There are a lot of cheap things on Amazon but starting Saturday, the largest online mall in the world will start charging sales tax in the State of California. This means for every dollar spent on Amazon, almost a dime will go to the state.
Technically, this was always the case, but Amazon expected you to keep track of what you owed and send a check directly to the state. But, less than one percent of shoppers actually do that.
Lawmakers have long complained that the increasingly popular online retailed was depriving the state of millions of dollars by refusing to charge taxes.
FOX40 spoke with shoppers at Arden Fair Mall, and many aren’t pleased with the new sales tax.
The good news: it may not be something you have to deal with. Amazon doesn’t plan to collect taxes on anything sold by its large group of third-party sellers on the site. These sellers make up for about 40 percent of the goods on Amazon.
More than seven states already have sales tax on Amazon users. The company has already agreed to start imposing levies in six more.