A proposal to tax certain online sales in Maryland has drawn the wrath of some Internet retailers and business organizations, while attracting support from Senate President Thomas V. Mike Miller Jr. and Comptroller Peter V.R. Franchot.
Sen. Richard S. Madaleno Jr. (D-Dist. 18) of Kensington said he recently filed the legislation to help plug a multimillion-dollar budget gap. The bill is similar to a 2008 New York law, and Madaleno expects the measure to raise about $7 million annually in Maryland.
The bill essentially mimics that of New York. Gazette.net continues [original wording retained]:
The sales tax would be collected by affiliates of Amazon and similar retailers based in Maryland that earn commissions for sending Maryland customers to those retailers through referrals, such as a banner on their Internet sites.
It is also being reported that earlier this week Amazon stated that they “would cancel contracts with affiliates in Maryland if the state adopts such a tax.”