Vermont Steps Onto Affiliate Tax Path

Posted on1 CommentCategoriesAffiliate / Advertising Tax, General Discussion

Vermont State SealFollowing the states of New Mexico, Virginia, Colorado and Mississippi, the state of Vermont — whose 2010 budget deficit is not as bad as that of the other four states, but is still at some $300 million this year —  has stepped onto the “affiliate tax” path too.

Melanie Seery of Affiliate Advocacy has made a post about it earlier today.

She has also tweeted:

Vermont affiliate sales tax

Shawn Collins of Affiliate Tip voiced out what is without a doubt every affiliate marketer’s sentiment:

Shawn collins about affiliate tax

Wow! Five states joined the list within just 8 days (between 21 and 29 January, 2010).

Vermont’s “affiliate tax” bill, introduced by Representatives J. Wilson, J. Rodgers and M. Smith, bears the name of House Bill 661, and was introduced yesterday, on January 29, 2010. Seery writes:

Legislation is very similar to NY, NC and RI versions [my comment: the 3 states that currently have such a legislation in place]. Of course as we learned, interpretation may be different. If passed will take effect July 1 2010.

There is the all-familiar reference to “soliciting business through an independent contractor, agent, or other representative” who is compensated on “commission or other consideration” basis, and “directly or indirectly refers potential customers, whether by a link on an Internet website or otherwise”, and the threshold is again at the $10,000. You may view the full text of the bill here.

Names and full contact information of current Representatives may be found in The Vermont Legislature Legislative Directory, and I urge you to contact yours a.s.a.p. Examples of Maryland, California and Hawaii have shown that this is an issue that can be dealt with, but requires an active approach. Educate your representative on the topic, and express your concern — the sooner, the better.

One thought on “Vermont Steps Onto Affiliate Tax Path

  1. Don’t they realize that “soliciting business through an independent contractor, agent, or other representative” who is compensated on “commission or other consideration” basis, and “directly or indirectly refers potential customers, whether by a link on an Internet website or otherwise” is any media outlet, including television, radio, or newspaper?

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