Friday, September 26, 2014

Evidence the MN Digital Sales Tax only Hurts Bloggers, Authors, Start-Ups and Not Helps!

Since July 2013, MN has implemented a digital sales tax. Its purpose was to help small businesses and curb online retail sales. Its effect has been the opposite. Small businesses, authors, and bloggers in MN can't expand more into online market due to the tax. Simultaneously, Amazon.com stopped all MN affiliates from posting on blogs and websites due to the tax. The state law recognized the bloggers and small business owners as a physical presence of Amazon in MN and subjected Amazon to the new digital tax on digital downloads; MP3s, movies, affiliation ads, etc. Now, little over one year later, Amazon is building a physical distribution center and data center in MN. (source: CLICK HERE)

Also, this means that I spend less money in the state, the state gets less in sales tax, and income tax.

The conclusion should be for the reinstatement of the MN Amazon affiliates since Amazon is building a distribution center and data center in MN. The answer is NO. Is Amazon somehow able to get around the digital sales tax law while the small start up does not? Is this a planned conspiracy to curb the online growth of small start-ups online and allow Amazon to grow even more? (Note: posted as questions and not statements.) It should also be noted that a data center will have actual data in 1's and 0's traveling via internet just like the online affiliate ads and should be subject to tax.

I do use Amazon to publish my books online and in print. If Amazon is not going to be subject to the same laws as the rest of us in MN, I may have to seek publishing elsewhere in protest of unfair business practices of Amazon and unrealistic online taxes imposed on MN residence. I also plan to vote for state representative and senator candidates that will repeal the online tax law and encourage other MN residence to do the same.

See Austin, MN KAAL TV's interview of me, Todd Mikkelsen of Paracord 101, about the MN Digital Sales Tax and bloggers... CLICK HERE!

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