They’re Going After Amazon.com

Amazon.com had better think up a better business model than cheating Uncle Sam and other nationalities out of their fair share of sales taxes.

Wall Street Journal reports: TOKYO (Dow Jones)–The Tokyo Regional Taxation Bureau told Amazon.com Inc.’s (AMZN) affiliated company Amazon.com International Sales to pay back taxes of $119 million, the Asahi Shimbun reported in its Sunday morning edition.

Amazon’s Japanese affiliates, called Amazon Japan and Amazon Japan Logistics, are responsible for sales and logistics operations in Japan while Japanese customers make contracts of purchasing products with Amazon’s affiliates in the U.S. Therefore those U.S. companies booked sales in the U.S. from their business in Japan.

And in the U.S., Hawaii has gotten the pink slip from Amazon (in addition to Rhode Island and North Carolina): Market Watch (via WSJ) reports: Amazon.com is ending relationships with its marketing affiliates in Hawaii to avoid collecting sales tax.