WINSTON-SALEM, N.C. — Amazon.com has confirmed it now adds sales tax for North Carolina residents’ orders, a practice that started Saturday.
Sales tax for online orders has been a gray area for some time but a possible new federal law in the works could help clear up the confusion.
WRAL-TV reported that the amount of tax charged will depend on various factors including the type of item bought and where it will be shipped.
Since Amazon has no offices or warehouses in North Carolina, the company is not required to collect sales tax on purchases.
The company has not said why they started charging sales tax to North Carolina customers. North Carolina is now one of 20 states that Amazon collects sales tax for.
“It wouldn’t be fair if some companies didn’t have to do it and other ones do,” said small business owner Patrick Boyles. He runs Jukebox Oldies a memorabilia store in Winston-Salem.
Disputes between Amazon and the state of North Carolina go back to at least 2009, when the retailer opposed state budget plans to collect online sales taxes.
Read more: WRAL-TV