Ahh, New York. State government continues it’s quest to unearth every non-taxed dollar. Once again facing a looming deficit by their own mismanagement, the latest budget cycle included a new law to tax successful internet businesses that don’t have any physical stores or employees in New York. Our beloved state would never let something like a Supreme Court decision get in it’s way of finding new tax revenue, and not only do you have the privilege of paying the tax, you’ll also get to pay the state’s legal bill as they defend themselves against Amazon’s lawsuit.
The law, not even in effect yet, has already caused one casualty – Overstock will no longer accept New York-based advertising business.
“We have worked to assure that Overstock.com has as small a tax footprint as possible because of the benefits it provides to our customers,” added Overstock’s senior VP of finance, David Chidester. “We have no taxable connection to New York that is recognizable under constitutional principals laid down by U.S. Supreme Court decisions, and we will keep that status, even if it means having to say goodbye to some long time New York business connections.”
The Vampire State continues to suck.