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Amazon Terminates Hawaii and North Carolina

I have received several emails alerting me that Amazon has sent their affiliates in Hawaii and North Carolina letters of removal from their affiliate program due to the pending Internet tax legislation.

In a copy of the email I received concerning Hawaii affiliates it reads in part:

But because the new law is drafted to go into effect July 1st, we will have to terminate the participation of all Hawaii residents in the Amazon Associates program on or before that day. After the termination day, we will no longer pay any referral fees for customers referred to Amazon.com or Endless.com nor will we accept new applications for the Associates program from Hawaii residents.

The reason for the fast termination is as I mentioned in a forum the other day. Terminations must be in effect prior to the day the law takes effect; otherwise nexus will be established.

With active pending legislation in Rhode Island , Tennessee and California and proposed legislation in other states I am sure more letters will be sent.

I expect there will be a lot of outrage and shock in the affiliate industry but there are still actions we can all take; actions we must take.

This is not a time to sit back. If your business is severely affected, realize that it can bounce back. You will need to adjust and you will need to work hard but do not give up.

I remember clearly my experiences of last year – and my business is still recovering.

Recent events have shown me that our industry is still not adequately prepared.

{ 5 comments… add one }

  • Shawn Drewry June 26, 2009, 3:21 pm

    Darn, that’s messed up. Amazon is doing so well too. I wonder why they would do that in the middle of a recession. Sounds kinda corporately DITZY, if you ask me personally..LOL

  • Steven June 26, 2009, 10:13 pm

    R.I. Senate approves $7.8-billion budget
    7:43 PM Fri, Jun 26, 2009
    Maria Armental

    By Steve Peoples
    Journal State House

    PROVIDENCE, R.I. — The Rhode Island Senate has approved a $7.8-billion state spending plan, sending the budget bill to the governor’s desk and ending a 24-hour delay on the key vote attributed to sparring legislative leaders.

    Governor Carcieri had not decided whether to veto the measure, which raises the state gasoline tax by 2 cents a gallon but cuts $55 million from cities and towns and narrows pension benefits for thousands of teachers and state workers.

    The final Senate vote, cast at 7:32 p.m., was 34 to 2.

    The budget for the fiscal year that begins July 1 seeks to close a deficit of $590 million, a hole of roughly 20 percent of state spending.

    Lawmakers filled more than one third of the shortfall with federal stimulus dollars.

    “The budget before us is one that truly calls for a sharing of pain and a sharing of sacrifice,” Senate Finance Committee Chairman Daniel DaPonte told members before the vote.

    http://newsblog.projo.com/2009/06/senate-approves-3.html

  • Melanie June 27, 2009, 8:57 am

    Thanks, Steven. It is also believed that the Governor will sign. With the overwhelming majority even if Governor were to veto it would most likely be overruled.

    Going to be a rough week for many.

  • Geoff June 28, 2009, 4:36 pm

    The way it`s going the only Associates Amazon US will have are those living outside of the US.

  • Warbson June 29, 2009, 9:19 pm

    Amazon don’t even need associates any more. I doubt they care about losing associates. They won’t have to pay commissions good excuse to get rid of the program, just blame it on taxes.

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