Tuesday, December 11, 2012

Amazon and sales taxes

Amazon has agreed to collect sales tax in Massachusetts starting next fall. This is supposedly good news for local businesses.

Except that the prospect of being forced to collect sales tax is what stopped Amazon from building local warehouses and offering cheap overnight or even same day delivery. How will local businesses compete then? Local businesses don’t have many advantages when competing with Amazon, but actually being local was one of them. So much for that advantage.

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