Momentum Continues to Grow for Out-of-State Sales Tax Act

Knoxville's WATE.com has this story regarding the growing outcry for Amazon to be required to collect sales tax in Tennessee now that the company has physically located to the state:

By MONA NAIR
6 News Reporter

KNOXVILLE (WATE) – Several Tennessee business owners are angry that Amazon.com is asking for a sales tax exemption.

Amazon is building two distribution centers in Hamilton and Bradley counties making a $139 million investment and bringing in 1,400 jobs.

Tennessee-based retailers are required to charge their customers a sales tax, but Amazon may be rewarded for its investment by not having to do the same.

Don Fowler runs Fowler's Furniture based in Knoxville. He says it is tougher to do business when you charge the tax.

For example, Fowler showed us one customer's bill for $9,960 that had a $944.47 sales tax tacked on to it.

Fowler believes if he's forced to charge his customers sales tax, Amazon should have to do the same.

"You ask me what my thoughts are, in one word, it stinks. It is awful. They're going to pick this one business and basically stick it to all the other thousands of businesses in the state. It'll never fly," Fowler said.

There have been full-page advertisements in the local paper by the national group "Alliance for Main Street Fairness." They are calling for no special interest loopholes, asking the people to call the state to make sure Amazon charges sales tax, too.

Right now regular Amazon shoppers in Tennessee like Brandon LeCompte don't pay any sales tax. In fact, he likes the website because it's cheap.

"As a college student, I pay more than enough for textbooks. Getting charged a sales tax on top of that will trouble me more," LeCompte said.

If the opposition stays strong, LeCompte and others in Tennessee will see an extra charge at Amazon. It will be the same sales tax they pay at Fowler's Furniture and every other retailer in the state.

Fowler believes that Gov. Bill Haslam being a businessman will help their case. He says because Gov. Haslam understands how unfair this is to local businesses, he does not believe this will be approved.