Texas isn't the only state going after Amazon.com for abusing the Supreme Court decision that requires mail-order retailers to collect sales taxes only on purchases in states where the company has a significant physical presence. In Pennsylvania, which is about to become host to a new Amazon distribution center, a local editorial is questioning the legality of the company avoiding state sales taxes by putting the warehouse titles under the names of subsidiaries.
It cites a case pending in New York that would close the loophole, and garner the state $50 million in possible revenue. Instead, Pennsylvania is giving the book-business behemoth — or its customers, rather — a $1,750,000 tax break. And here I wondered how Carnegie Mellon was able to convince Bezos to fly to Pittsburgh for a commencement address.