New York Defends its “Amazon Tax” in Court

Major online retailers Amazon.com Inc and Overstock.com on Wednesday told a New York state court that they should be allowed to not charge state sales tax.

The case, in the State of New York Court of Appeals, represents one of the first legal tests of recent “Amazon taxes” meant to make online retailers start charging state sales taxes.

Amazon and Overstock attorneys argued before the court that a 2008 New York law requiring companies with affiliates in the state to collect sales tax was unconstitutional.

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