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Colorado group launches anti-Amazon.com campaign
By D. Scriber  l Published: Tuesday, March 09 2010 20:31

Amaz... Gone

antiamazonColorado progressives to Amazon.com: "We won't be bullied."

In response to Amazon's decision this week to no longer pay referral fees to Colorado bloggers and nonprofits that advertise Amazon products on their websites, ProgressNow Colorado has launched a campaign against Amazon. "Sign our pledge to shop elsewhere until Amazon stops using Colorado residents as pawns," says a blog post on ProgressNow's website. "After profiting from millions of dollars in tax-free sales to Colorado residents for years, Amazon is determined to protect their unfair advantage over local brick-and-mortar retailers," ProgressNow adds. "When the state legislature passed a law to enforce collection of taxes for online purchases, lawmakers understood that one of the key effects would be leveling the playing field between massive online merchants like Amazon and local retailers who pay their taxes and employ Coloradans."

About a week ago, Colorado Governor Bill Ritter, working with fellow Democrats, signed a law that obliges online retailers to collect the state's 2.9 percent sales tax.

Amazon responded in a letter to affiliates who receive a commission for purchases directed to Amazon: "as a result of the new law, we have decided to stop advertising through Associates based in Colorado. We plan to continue to sell to Colorado residents, however, and will advertise through other channels, including through Associates based in other states."

Ritter and supporters say the online tax is fair and needed to help the state contend with budget issues. In a news release, Ritter was expressed disappointment at Amazon's action: “My office worked closely with Amazon’s affiliates and associates to modify House Bill 1193 to specifically protect small businesses, avoid job losses and provide a fair, level playing field for on-line retailers and Main Street, brick-and-mortar retail shops alike."

According to the most recent numbers available, in 2008, there were 4,200 affiliates in Colorado, earning about $37.5 million, reports The Wall Street Journal.


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