Mass. to Begin Collecting Sales Tax from Amazon Friday
Beginning Friday, the state will apply its 6.25 percent sales tax to purchases made from Amazon, though the tax will not apply to third-party vendors who use the site.
The state reached an agreement with Amazon last year. Owners of traditional “brick and mortar” stores have long complained of being at a competitive disadvantage to online retailers who are not required to collect sales taxes.
State revenue officials tell The Boston Globe the tax on Amazon purchases is expected to raise nearly $37 million for the state in the current fiscal year.
A group representing brick and mortar businesses in Massachusetts has called for a federal law requiring states to collect sales taxes from all online retailers.