California going after Amazon marketplace sellers for uncollected sales tax

November 7, 2019

Brian Freifelder sells clothing, shoes and groceries on Amazon.com out of a small warehouse in Bensalem, Pa. Mr. Freifelder recently received a notice from the state of California informing him that he could owe up to $1.6 million for sales tax that he didn’t collect from consumers who bought his products on Amazon.com. The California Department of Tax and Fee Administration has advised third-party sellers on Amazon that they should have been collecting sales tax going back to 2012.

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