Amazon: Tenn. customers might owe taxes - WMC Action News 5 - Memphis, Tennessee

Amazon: Tenn. customers might owe taxes

CHATTANOOGA, Tenn. (AP) - Online retailer Amazon has begun emailing Tennessee customers, telling them they might owe taxes on their purchases.

The Chattanooga Times Free Press reported the notification follows the signing of a law about a month ago by Gov. Bill Haslam. The law requires Amazon to begin collecting sales tax on items sold to Tennessee residents, beginning in 2014.

In the interim, Tennessee consumers are liable for a "consumer use" tax that applies to goods purchased online from a company that doesn't collect the sales tax.

In an email, Haslam spokesman David Smith said responsibility for collecting the state sales tax moves to the company on Jan. 1, 2014.

Amazon has large distribution centers in Hamilton and Bradley counties. A waiver under the previous administration exempted tax collection.

Information from: Chattanooga Times Free Press.

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