Not that I use Amazon Associates a whole lot, but I got this message from them saying that I can no longer get referral fee’s from Amazon.
We are writing from the Amazon Associates Program to notify you that your Associates account has been closed as of June 26, 2009. This is a direct result of the unconstitutional tax collection scheme expected to be passed any day now by the North Carolina state legislature (the General Assembly) and signed by the governor. As a result, we will no longer pay any referral fees for customers referred to Amazon.com or Endless.com after June 26. We were forced to take this unfortunate action in anticipation of actual enactment because of uncertainties surrounding the legislation’s effective date.
Please be assured that all qualifying referral fees earned prior to June 26, 2009 will be processed and paid in full in accordance with our regular referral fee schedule. Based on your account closure date of June 26, 2009, any final payments will be paid by September 1, 2009.
In the event that North Carolina repeals this tax collection scheme, we would certainly be happy to re-open our Associates program to North Carolina residents.
The North Carolina General Assembly’s website is http://www.ncleg.net/, and additional information may be obtained from the Performance Marketing Alliance at http://www.performancemarketingalliance.com/.
We have enjoyed working with you and other North Carolina-based participants in the Amazon Associates Program, and wish you all the best in your future.
The Amazon Associates Team
I have no idea what the “tax collection scheme” is but I’d like to know more about it. Going to the websites they recommend doesn’t really help me as I don’t want to scan through pages just to find the answer.
To me it seems like it would be a good idea for them to reject, as what is stopping an LLC from registering in another state and using the service? If anyone in NC relies heavily on associates this could prevent them from operating, perhaps forcing them to relocate to another state, taking any business and therefore taxes elsewhere. I’m just a small player, I might have got a few referral sales (not from this site) but for those that do heavy affiliate marketing, it might have an impact. This is just on the client side, I’m wondering if it would affect any of the service side. A lot of money is made through services like this, for example Google, so I can see why NC wants a piece of the pie and apparentelly Amazon doesn’t want to pay. I have had no notice from other services.
Oh well, we’ll see how it pans out.