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Amazon recently announced that it will cease paying affiliate reward to its California associates. As a startup very reliant on affiliate fees, is there any way to get around this? Background: We registered as an LLC outside of the state and just moved to Cali. 2nd question: Even if I am in California, would Amazon have any way of knowing if all my cards/addresses supplied to them are still back home? |
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Amazon will not let you be an affiliate because you are a CA resident. Please see Re-incorporation Won’t Save Amazon Affiliate from Termination. Disclaimer: This information does not constitute legal advice and does not establish an attorney-client relationship. |
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At the moment I think you are stuck. I believe that Amazon has cut off all business with its California affiliates because California is claiming that they constitute a business situs in the state. California says that Amazon must collect sales tax on sales within the state because Amazon has a situs in the state. Amazon is trying to get enough signatures to qualify a proposition for the November ballot that would prevent the state from collecting the tax. |
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I am a NC resident and face the same problem. It seems that Amazon ceased their Associate program in several states that are demanding state tax be collected. I also looked into using an agent to incorporate a business in another state but apparently that isn't a valid work around. It seems I am still not eligible for their program simply because I'm a resident of NC. |
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