The latest lawsuit that disputes Amazon's passive involvement in collecting sales taxes is riding on the state of California's definition of a 'retailer' - and that California has been complicit in Amazon burdening small businesses and reducing tax revenue for the state.
On Tuesday,
The complaint specifically identifies California’s sales tax law on consignment sales - California Regulation 1569 - as creating a definition of a retailer: Rafelson also referred to a recent ruling by the state of Louisiana that found Walmart.com is the dealer for sales by third-party retailers in its marketplace programRafelson says that Grosz’ case is similar to these cases in many ways, as they all call into question whether Amazon is a retailer. However, Grosz’s case relies on decades-old tax law.
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