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The Honolulu Advertiser
Posted on: Wednesday, July 29, 2009

Amazon.com reinstates ties with Hawaii Web sites after bill vetoed

Advertiser Staff

Amazon.com has reinstated its associate program with Hawaii-based Internet partners following Gov. Linda Lingle’s move to veto legislation earlier this month that would have forced the online retailer to collect taxes on its Hawaii sales.

Amazon’s announcement follows Overstock.com and online jeweler Blue Niles’ decision to reinstate their Hawaiçi contracts. All three companies had cut ties with their Hawaiçi-based affiliates after the bill passed.
Earlier this week, Amazon spokesman Patty Smith said the online retailer was “grateful” for Lingle’s veto, while The Amazon Associates Team praised Lingle’s decision on their site on July 24, calling HB1405, an “unconstitutional tax collection scheme” because the company does not have a physical prescience in the state and should not be subject to the states excise tax.
Amazon is advising Hawaiçi affiliates to sign in using their old account information. An advertising affiliate is an independent Web site that displays an ad for an Internet retailer. If the customer clicks on the ad and ends up buying a product, the affiliate gets a commission.