Internet retail giant Amazon.com informed California-based Web sites, which make money via referring buyers, that they'll soon be cut out if the state forces the Amazon to pay sales tax, as proposed in the current state budget.
In a letter to affiliates, the Washington-based company warns:
"We will terminate contracts with all California residents that are participants in the Amazon Associates Program as of the date (if any) that the California law becomes effective. We will send a follow-up notice to you confirming the termination date if the California law is enacted. In the event that the California law does not become effective before September 30, 2011, we withdraw this notice."
In other words, if Amazon affiliates want to keep earning, they'd better figure out a way kill this pending law.
http://blogs.sfweekly.com/thesnitch/2011/06/amazon_to_cut_out_california_a.php