Amazon Gets $269M Bill for Uncollected Texas Sales Tax

Ryan Whitwam

Amazon's third quarter financial results came with an unexpected twist. According to the retailer's SEC filings, the state of Texas handed Amazon a bill for $269 million for uncollected state sales tax. Amazon has said that the assessment of taxes is "without merit" and they plan to pursue the matter legally.

This isn't the first time Amazon has been at odds with state regulators. Businesses have traditionally only had to pay taxes in states where they have facilities or employees. Some states have tried to use Amazon's affiliate program as an excuse to levy taxes. Both North Carolina and Rhode Island went that route, so Amazon ended the affiliate programs there.

As state budgets continue to tighten, more legislatures may look to the wildly successful online retailer as a source of cash. Do you think Amazon and other sites should have to pay (and presumably charge you) state sales tax in all states?

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