It started to look like a bit of a victory… But it’s not over in Colorado yet… It seems that what remains in the Colorado Affiliate Tax Law that’s in the middle of being passed is a “backdoor” of sorts. A very ugly backdoor that isn’t all that different from what Missouri has attempted in the past.
In a blogpost last year Matt Enders described a scheme where Missouri was expecting an out of state entity with no particular ties to Missouri to give up their customer lists and information for the purpose of Sales Tax collection of Internet Sales. The full article by Matt Enders is HERE.
And now comes Colorado State Senator Greg Brophy who is less than fond of the backdoor Colorado is now attempting. You see, State Sen Brophy describes an administrative move in Colorado that would cause Merchants to send an email annually to everyone from Colorado that purchased from the Merchant in the previous year. That the email would contain a list of all purchases made. And here’s the real kicker.. That the customer is expected to pay Colorado directly for “Sales and Use Tax” on those items.
But Wait… It Gets Better
Colorado would also require that the Merchant send a complete detailed list of all purchases made to residents of Colorado TO THE STATE OF COLORADO! That’s right… You live in Colorado? A little piece of your privacy just went down the toilet if this bill passes. Remember that sexy gift for your anniversary? Yup, someone in the government is gonna know that you bought that battery powered marital aid. And from what I can see so far, there is no verbage declaring this information to be confidential!
I can here it now… You come home and your 14yr old “Little Johnny” says “Dad, Mom… I was surfing the Colorado State Websites for my Social Studies Class and they have this list that shows a bunch of stuff you bought last year… What’s a “French Tickler”????”.
Now, what are you gonna do about this Affiliates???
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