March 27, 2018

Bloomberg BNA: Tax Breaks Plentiful for Second Amazon HQ Even Without Bids

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Amazon also benefits at the state and local level when it comes to sales tax, according to a report released March 26 by the Institute on Taxation and Economic Policy based in Washington, D.C.

In seven states—Alabama, Alaska, Idaho, Iowa, Mississippi, New Mexico, and Pennsylvania—Amazon is either not collecting local taxes or charging a lower tax rate than local retailers.

The reason for this varies across states, including Amazon applying interstate “use taxes,” which in some cases don’t include the local tax rate, the report said. In other cases, state law requires sales tax to be assessed based on the location of the seller rather than the buyer, it said. Read more



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