IMPORTANT: New York Tax Conference Call - Thursday AM
Find Complete Coverage of the New York Tax Issues Here

Brian Littleton from Shareasale wrote a very important comment regarding the New YorkY tax law, that NY affiliates and merchants need to know about. See comment #5 on my blog post here: Overstock Your PR Sucks - Plus Affiliates Fight NY Tax Law (OSTK)

Brian wrote:

“Carefully read examples 5 and 6 in the law… there is a possibility that simply placing a link on a website (with no further solicitation which includes email) is an activity that would not qualify.

This law is horribly written and confusing from my perspective… but merchants should carefully consider their options with their legal counsels to see if they either qualify (under examples 2/3 etc…) or are exempt as in example 6.”

http://nystax.gov/pdf/memos/sales/m08_3s.pdf

I posted on the 5 Star Affiliate Forum over the weekend, about another important post from Brian, offering some other valuable advice to merchants, but didn’t have a chance to blog it yet…

This tax issue is going to go one of two ways. He explains the 2 possible outcomes and says either way this law goes, you will put yourself at a disadvantage if you decide to get rid of New York affiliates.

Merchants - Don’t eliminate your NY Affiliates.

Merchants please read this before making any decisions about this issue!
Brian makes some really good points!

UPDATE 9:30 PM: Heather Paulson has in-depth info from a conference call with New York tax officials. Thanks Heather for sharing all the details with us!
From Revenews:

“I had an opportunity to be privy to information from a collective interview hosted by Cecily Lancit President of Affiliopolis.com an affiliate network. Ms. Lancit had a phone interview today with representatives of the New York State Tax Department about their new online sales tax legislation starting June 1st, 2008. Present on the conference call was Jim Connolly, Staff Attorney in the Office of Counsel to the Tax Department of the State of New York; Dan DeSilva, Sales Tax Publications and Memos Unit; Dan Wood, Office of Tax Policy; and Ken Brand, Publications Bureau. More…