Retailer Amazon.com has cut off its relationship with affiliates in North Carolina effective today, report people who have been involved in the company’s marketing program.
Affiliates helped Amazon sell by advertising books, music and other goods on their Web sites. If a customer clicked through those links and bought something on the Web site, the affiliate received a share of that sale.
“We are writing from the Amazon Associates Program to notify you that your Associates account has been closed as of June 26, 2009,” reads and e-mail Amazon sent to its affiliates today. “This is a direct result of the unconstitutional tax collection scheme expected to be passed any day now by the North Carolina state legislature (the General Assembly) and signed by the governor.”
So I wonder how hard it will be for N.C. based affiliates to change their home address.... and what recourse does the N.C. state government have to subpoena records in order to 'cross reference' N.C. residents and affiliates.
Surely it wont be that hard to set up a DE based company and then start right back up as an 'employee' of the company but operating from North Carolina. As long as they don't have staff/offices in NC then they wont even have to register activities with their home state...and IF they were a major operation with local staff - couldn't they set up two companies one in DE and one in NC, with the NC subcontracting services to the DE company?
Any thoughts? do you see this happening in other states as well?