Thursday, June 30

My email from Amazon: California to tax e-commerce, they will cease paying commissions

I wirte books for a living. As any author will tell you, royalties are where we make money. It's interesting to note here, that books sold through Amazon usually fall under a "high-discount" clause in any author's contract. Meaning? Amazon buys books from the publisher at such a low rate, that the author gets a lower percentage on royalties on books sold to them.
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I digress. I also make money when books are sold from my own, direct Amazon affiliate links. I have a small astore, that lists my books. I don't get rich from it, but these days, every penny helps.
Yesterday's email brought a not from Amazon, that due to pending California legislation, I will no longer have that stream of income. I'm not whining here, but it is disheartening. The text is below:

Hello,
Unfortunately, Governor Brown has signed into law the bill that we emailed you about earlier today. As a result of this, contracts with all California residents participating in the Amazon Associates Program are terminated effective today, June 29, 2011. Those California residents will no longer receive advertising fees for sales referred to Amazon.com, Endless.com, MYHABIT.COM or SmallParts.com. Please be assured that all qualifying advertising fees earned before today will be processed and paid in full in accordance with the regular payment schedule.
You are receiving this email because our records indicate that you are a resident of California. If you are not currently a resident of California, or if you are relocating to another state in the near future, you can manage the details of your Associates account here. And if you relocate to another state in the near future please contact us for reinstatement into the Amazon Associates Program.
To avoid confusion, we would like to clarify that this development will only impact our ability to offer the Associates Program to California residents and will not affect your ability to purchase from Amazon.com, Endless.com, MYHABIT.COM or SmallParts.com.
We have enjoyed working with you and other California-based participants in the Amazon Associates Program and, if this situation is rectified, would very much welcome the opportunity to re-open our Associates Program to California residents. As mentioned before, we are continuing to work on alternative ways to help California residents monetize their websites and we will be sure to contact you when these become available.
Regards,
The Amazon Associates Team

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