Segal Cohen & Landis Reviews Amazon No Longer Tax-Free: 10 Surprising Facts as Giant Loses Ground

Segal Cohen & Landis reviews the fact that Amazon has changed its notorious anti-tax stance. Historically Amazon has avoided paying taxes at all cost. Segal Cohen & Landis reviews its history of sales tax evasion. For years Amazon’s prime company strategy was avoiding sales tax. The reason being that price was the main selling point of the company, more important than convenience. In order to be able to provide low prices Amazon’s strategy was to avoid sales tax.

Segal Cohen & Landis reviews Amazon’s tax avoidance history. Jeff Bezos, Amazon’s founder, was originally so adamant about avoiding taxes that he investigated setting up the company on an Indian Reservation in order to avoid taxes.  Segal Cohen & Landis reviews  the motive behind this strategy. Amazon’s strategy of pitching to customers the fact that they could avoid tax was incredibly important. By selling customers on the idea of no taxes and low prices it was a 10% profit margin in an industry where 10% is huge.

Although the idea of planting Amazon on an Indian reservation didn’t work Segal Cohen & Landis reviews some of Amazon’s other tactics. In order to avoid taxes Amazon has gone as far as cutting ties with affiliates in states that passed online sales tax bills, including California, North Carolina, Colorado, Connecticut, Arkansas, Illinois and Rhode Island. Amazon even went as far as announcing its reason for closing affiliate accounts in Minnesota as “a direct result of unconstitutional Minnesota state tax collection legislation passed by the state legislature.” Segal Cohen & Landis reviews  another clever tax evasion tactic. Amazon went so far as to even restrict company travel by employees in some states in order to avoid creating a taxable presence.

Segal Cohen & Landis reviews Amazon’s current position. These days Amazon has found itself in a vulnerable position. Segal Cohen & Landis reviews Amazon’s last crises which took place on August 19, 2013 when Amazon went down for approximately 30 minutes, preventing shoppers from accessing the website. Segal Cohen & Landis reviews their losses at an estimated $66,340 a minute.  Aside from this embarrassing loss in revenue Segal Cohen & Landis reviews the fact that they are also losing their competitive edge. It is now becoming cheaper to shop for certain products at the store than it would online.


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