Amazon starts charging sales tax in Texas - KLTV.com - Tyler, Longview, Jacksonville |ETX News

Amazon starts charging sales tax in Texas

Amazon purchases just got more expensive; at least if you live here in Texas. You're going to be charged a state sales tax because of a deal struck between Amazon and the State Comptrollers Office.

Last September the state said Amazon owed $269 million in back taxes because they have a distribution center near Dallas. Last April, Amazon agreed to start charging a Texas state tax beginning July 1 if the state would drop the $269 million bill.

It used to be a big selling point on Amazon.com: it's cheaper because there's no state tax. But in September of 2011 the Comptroller's Office hit Amazon with a $269 million back taxes bill. That happened because they have a building in Texas. No building in this state; no sales tax required, but if a business has a building, they have to pay.

Amazon cut a deal with the state: no big bill and they'll cut Texas in, and create 2,500 new jobs right here in the Lone Star State. They started charging July 1.

Donnie Thedford, who owns Don's TV and Appliances in Tyler, thinks it will help to even the playing field.

He said,"These guys that have these imaginary store-fronts online are not held to the same tax laws we are, so we're happy to see it."

Some of you had mixed opinions.

Lee Humphries said, "I just think they ought to be charged a tax if they're selling in Texas."

Debbie Sexton said, "Just another way for them to make money I think, and I don't agree with it. I do a lot of business with Amazon, but this has changed my mind."

Ryan McMichael said, "the comptroller says, 'hey we're going to sue you over this potential revenue loss,' and they settled and we have to suffer for it."

Bonnie West said, "I don't think it's a good idea. I think we're taxed enough."

When you place an order at Amazon.com the state tax doesn't appear until you finalize your order and check out.

At least a dozen states are requiring online retailers to include a sales tax.

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