Local legislators react to Internet tax

Amazon.com has filed a suit challenging New York State’s new law that forces online retailers to collect sales taxes on shipments to state residents, the New York Times reports.

On Friday, Amazon filed a complaint in New York Supreme Court in New York City, objecting to the law. The provision is meant to contribute about $50 million to the $122 billion budget that was passed by the state legislature April 9 and signed by Gov. David A. Paterson last week, according to the Times.

The new law includes any Web site based in the state that earns a referral fee for sending customers to an online retailer, according to the report.

Here’s what some Mohawk Valley legislators have to say about the Internet tax:

Assemblywoman RoAnn Destito, D-Rome:

“I actually had mixed feeling about it. People are buying off the Internet and not having to pay sales tax. The Internet is such a unique opportunity. When you look at a county like ours that is charging 8 and three quarters percent sales tax, the businesses are bearing the brunt of that burden as well.

I believe that we should collect the revenue. Anyone who has a presence in New York state must collect sales tax. I think it’s a matter of fairness.”

Assemblyman Dave Townsend, R-Sylvan Beach:

“I don’t like any new taxes and fees to be put on the people. It’s just another way to have the government grab the residents’ money and I voted against it. I don’t like it and I don’t think it’s fair.”

Sen. Joseph Griffo, R-Rome:

“The Senate initially rejected all of those fees, but in the final weeks many of those were taken out and some were sunset and a few remained. The cigarette tax and the Amazon tax remained. In this particular tax, I think overall I don’t like it – because I don’t like imposing any new taxes. But, it also levels the playing field. One retailer shouldn’t be given an advantage over another.

I think this is going to end up in court. I don’t know how it will be resolved."