Friday, June 10, 2011

Connecticut Resident Amazon Associates' Contracts Terminated

(Democrat) Govenor Malloy of Connecticut just did something that hurt some Connecticut resident's ability to earn income. I'm one of those people.

So long as I'm a Connecticut resident I am no longer an Amazon Associate, as of right now (thus I am deleting the sidebar link today). When I move to Texas (soon) I will be opening a new Amazon Associates account.

I have always been grateful for my blog readers who link through to Amazon and make purchases as it provided me with my main source of blog income. I was an Associate for six years! I would receive Amazon credit toward purchases I'd make at Amazon. I buy a lot of what we homeschool with at Amazon.com.

This new tax has now negatively impacted private citizens from making income. How taking away an individual's ability to earn income is going to help our economy is beyond my understanding.

The new tax and the fallout such as Amazon terminating their contracts with all Connecticut residents is also hurting Connecticut nonprofit organizations who use the Amazon Associate program to fund their organization.

Shame on you Govenor Malloy. When someone accuses you or your party of being anti-business, let this serve as one real-life example.

Below is the notice I received from Amazon yesterday.

"Hello,


For well over a decade, the Amazon Associates Program has worked with thousands of Connecticut residents. Unfortunately, the budget signed by Governor Malloy contains a sales tax provision that compels us to terminate this program for Connecticut-based participants effective immediately. It specifically imposes the collection of taxes from consumers on sales by online retailers - including but not limited to those referred by Connecticut-based affiliates like you - even if those retailers have no physical presence in the state.

We opposed this new tax law because it is unconstitutional and counterproductive. It was supported by big-box retailers, most of which are based outside Connecticut, that seek to harm the affiliate advertising programs of their competitors. Similar legislation in other states has led to job and income losses, and little, if any, new tax revenue. We deeply regret that we must take this action.

As a result of the new law, contracts with all Connecticut residents participating in the Amazon Associates Program will be terminated today, June 10, 2011. Those Connecticut residents will no longer receive advertising fees for sales referred to Amazon.com, Endless.com, MYHABIT.COM or SmallParts.com. Please be assured that all qualifying advertising fees earned on or before today, June 10, 2011, will be processed and paid in full in accordance with the regular payment schedule.

You are receiving this email because our records indicate that you are a resident of Connecticut. If you are not currently a resident of Connecticut, or if you are relocating to another state in the near future, you can manage the details of your Associates account here. And if you relocate to another state after June 10, 2011, please contact us for reinstatement into the Amazon Associates Program.

To avoid confusion, we would like to clarify that this development will only impact our ability to offer the Associates Program to Connecticut residents and will not affect their ability to purchase from www.amazon.com.

We have enjoyed working with you and other Connecticut-based participants in the Amazon Associates Program and, if this situation is rectified, would very much welcome the opportunity to re-open our Associates Program to Connecticut residents.

Regards,

The Amazon Associates Team"

6 comments:

Joyful Learner said...
This comment has been removed by the author.
ChristineMM said...

Hi Joyful Learner,
Per the terms of the Amazon Associates contract, we cannot buy from our own link and get a commission. That is why you didn't get any credit.

When I purchase from Amazon I go through other blogs or nonprofit organizations so they get the credit.

It's too bad I can no longer support a local homeschool support group or our state inclusive homeschool organization since their contracts are also cancelled as they are Connecticut based.

Stay At Home Mom at Work said...

Same thing here, in Illinois. My account was terminated for exact same reasons. I am sure it was tough to collect taxes on this form of revenue, they are trying to control internet sales and getting their cut. It stinks!

Crimson Wife said...

That's just plain nuts. Having blog affiliates in a particular state is not remotely the same thing as having a retail outlet there. If I were to buy something through your Amazon Associates "store", the item purchased would never be in your physical possession at any time. It would go straight from Amazon to me. You only function as a referral source, not a true middleman.

ChristineMM said...

In Connecticut blogs are now considered "brokers of services", such as me a CT blogger being a "broker of a service" (product in this case) of a sale to Amazon. I guess.

That is an example of why I hate legalese.

I once was an elected official myself, on the town government level. I learned things there about how goverment really works versus the perception of what citizens think. I didn't like it, and I plan to never run for office again.

Joyful Learner said...

Thanks for the tip!