Amazon is looking to avoid collecting sales tax in Texas by offering to create 5,000 jobs and invest $300 million in the state.
The e-commerce giant is seeking a four-year reprieve from collecting sales tax through this deal, which would include building a distribution center.
The proposed deal is in the works at the Texas legislature.
But the Alliance for Main Street Fairness opposes this offer, saying Amazon shouldn't receive a special deal.Earlier in the year, Texas Gov. Rick Perry vetoed a bill that would have forced online retailers to collect sales tax. Perry said the law would have resulted in "unintended consequences." "My strong preference is to conduct a thorough policy discussion with Texas lawmakers, consumers, retailers and technology experts -- and with other states and even the federal government -- about interstate commerce and the structure of state sales taxes in the 21st century," Perry said in a statement. Amazon sued the state earlier in the year after lawmakers sent the e-commerce giant a tax bill for $269 million. In retaliation, Amazon said at the time that it would shutter its Irvine-based warehouse and canceled plans to build another warehouse in the state.
Arkansas Amazon ended its affiliate program in Arkansas, after a bill was passed earlier in the year require out-of-state online retailers to collect sales tax from customers if their annual sales in the state exceed $10,000. Affiliate contracts will be terminated on July 24, Amazon told its partners in an e-mail.