Sales Tax on Books Sold by Publishers – kindle Forum

Amazon contends that book sold under the “agency” model, where publishers set the price, are subject to state sales tax:

Several publishers have recently changed the nature of their relationship with Amazon, moving to a business model whereby the publisher, not Amazon, is the seller of record for their books. Kindle books sold under this model are subject to sales tax based on the publisher’s state tax reporting obligations and the taxability of digital books in those states. Books where the publisher is the seller of record say “This price was set by the publisher.” Nothing has changed with respect to sales taxes on Kindle books where Amazon is the seller of record.

via Sales Tax on Books Sold by Publishers – kindle Discussion Forum.

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