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  1. #1
    Advocate mellie's Avatar
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    Schwarzenegger Vetoed Affiliate Tax [Nexus] Legislation
    Report in LaTimes blog that Governor vetoed.
    http://latimesblogs.latimes.com/shop...er-states.html

    Overstock quoted as saying they will reinstate Calif. affiliates but adding they will terminate affiliates in any state that passes or is close to passing nexus laws that would require them to collect sales tax.
    Melanie
    President - Affiliate Advocacy 2008 ShareaSale Performance Industry Advocate Award, 2009 Affiliate Summit Pinnacle Award - Affiliate Advocate
    Affiliate Advocacy
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  2. #2
    Affiliate Manager Alan Hamilton's Avatar
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    WTG Ah-Nuld!!!!!!!!

    This pleases me on soooo many levels, one of which is where the Gov-a-nator stands on tax and spend mentalities. California is in a serious financial problem right now and so I fully expected the law to pass there. This is a fantastic piece of news Mellie. Although the programs we own are not taxable online, I am very PROUD of the Governor and very happy for CA affiliates.
    Join the Spicy Aprons Affiliate program on ShareASale Visit us on Facebook www.facebook.com/spicyaprons Follow us on Twitter @Spicyaprons

  3. #3
    ABW Ambassador sjangro's Avatar
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  4. #4
    Super Dawg Member Phil Kaufman aka AffiliateHound's Avatar
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    Just received from Overstock:
    July 1, 2009


    Dear Affiliate:

    We are delighted to inform you that we have reversed the decision to terminate our contracts with our California-based advertising affiliates. Our Chairman and CEO, Patrick Byrne, today received a call from Governor Schwarzenegger's Office and the Governor's Office assured us that the Governor's actions of last night will stand. He sent back to the legislature the revenue package, rejecting new tax initiatives, including that which provoked our termination notices. The Governor has pledged that there are to be no new taxes enacted this year, and the budget must be balanced by government cost-cutting.

    We also were told that the Governor recognizes this is an issue that impacts California's reputation for business which the Governor prefers to remain strong.

    We were asked to reverse our decision of yesterday, and we happily obliged, based on these assurances. We will begin the process of canceling the expirations initiated last night and hope we do not have to revisit this issue again.

    We apologize for any disruption of your business owing to these events, and thank you for your support of our position. We believe that the contacts received by the Governor's office on this issue today were chiefly responsible for this turn of events.

    Respectfully

    Jonathan E. Johnson III
    President
    Overstock.com, Inc.
    Since June 10, 2012 a vegan aarf but still writing the Hound Dawg Sports Blog
    "If you don't have time to do it right, when will you have time to do it over?" -John Wooden;
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  5. #5
    ABW Ambassador
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    This GOV may just be able to set a new tone for the nation.

  6. #6
    Prince of Content Vinny O'Hare's Avatar
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    How can we get Arnold to call all his other governors and explain it to them
    Vinny O'Hare - OPM - Contact Info email: vinny at teamloxly.com ~ 702-582-6742 Twitter

  7. #7
    Analytics Dude Kevin's Avatar
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    Good for him. At least one governor actually listens.
    Kevin Webster
    twitter: levelanalytics

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  8. #8
    Affiliate Network Rep ayakobing's Avatar
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    This is awesome!!!! He can be our stop advertising tax spokesperson

  9. #9
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    Thanks Arnold! I'd like to think all the emails, mails, calls and tweets we did had something to do with it. I feel much lighter than I did earlier today.

  10. #10
    ABW Founder Haiko de Poel, Jr.'s Avatar
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    Hasta la vista, Nexus!
    Continued Success,

    Haiko
    The secret of success is constancy of purpose ~ Disraeli

  11. #11
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    Quote Originally Posted by sjangro
    I'm surprised(pleasantly) that there was a special press release and mention of the nexus stuff from the Governor's office. Wasn't the Nexus language just a tiny part tucked away in the big budget bill (sorry, I didn't get to read the budget bill).

    If at the Governor's level there is opposition specifically to this AB178 stuff, it's a huge difference. I thought the veto had little to do with the nexus stuff but he was going to veto the budget bill anyways (because the democrats didn't balance the budget with enough spending cuts).

    If he's specifically against this because he views this as "new taxes", and has noted the real effect of cancellations by overstock.com (a puny player compared to Amazon who'd also cancel affiliates essentially guaranteeing a lose-lose result), the chance of this AB178 piggybacking on some other bill seems less likely.

    Basically, I'd like to confirm that the AB178 by itself was vetoed (which makes it likely to get vetoed until Ahnold stays atleast )..

  12. #12
    ABW Ambassador affninja's Avatar
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    woohoo!
    Your Ad Here.

  13. #13
    ABW Ambassador CathyM's Avatar
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    As Arnold would say, "That's fantastic!"

  14. #14
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    > "I'm surprised(pleasantly) that there was a special press release and mention of the nexus stuff from the Governor's office. Wasn't the Nexus language just a tiny part tucked away in the big budget bill?" <

    I'm also very pleasantly surprised by the specific reference by Schwarzenegger to this issue.

    Yes, the advertising-nexus tax language was buried inside a huge budget bill, and its false promise of $149.5 million was relatively minor compared to much larger fictitious budget ploys.

    No, the governor did not veto AB 178, the original bill introduced by Assembly Member Nancy Skinner; that bill is still pending and may be considered in 2010 (the second year of the two-year legislative session).

    This is a great day, with two governors (CA and HI) vetoing this bill on the same day.

    Of course, neither veto is absolutely final. The Hawaii legislature might still override the governor's veto. And California still needs a budget, and the advertising-nexus tax might still be re-inserted into the budget bill, and the governor might decide to compromise on this issue (because after all, it's not really a new tax, it's just an enforcement mechanism for an existing tax). Neither seems likely.

    Now I need to send thank-you notes to some legislators and both governors in Rhode Island and North Carolina, thanking them for giving me a modest competitive advantage, since I'll now be able to collecting advertising revenue that they've prevented their own residents from collecting.

  15. #15
    Outsourced Program Manager kgarcia's Avatar
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    Quote Originally Posted by emuflies
    Basically, I'd like to confirm that the AB178 by itself was vetoed
    AB178 was actually tabled in the Assembly Tax & Revenue Committee a few months back. The language was lifted from that bill and the nexus proposal appeared in a new bill, SBX3 17, which was part of the budget that Gov. Schwarzenegger vetoed.

    Just to note, this is not a completely dead issue... there is yet another new bill from Wednesday night, ABX3 19, which is identical to SBX3 17, floating about now from the Assembly. As soon as I know more, I'll update everyone.
    Karen Garcia
    [URL=http://lab6media.com]Lab6 Media[/URL]
    Are you a content creator? A serial entrepreneur? New to the space or a long time player? We'd love to work with you!
    [URL=http://lab6media.com/clients/]Explore the affiliate programs we manage![/URL]

  16. #16
    Affiliate Manager Matt McWilliams's Avatar
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    I am extremely proud of Governor Schwarzenegger!

    Way to go Govenah!
    Matt McWilliams
    Call Me At: (317) 825-8826 | Follow Me On Twitter: @MattMcWilliams2 | Connect With Me On LinkedIn

  17. #17
    Affiliate Manager sunnypi's Avatar
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    I have to say the LA Times blog article that Mellie posted is one of the 'easiest' explanations about the Nexus issue that I've seen. I've been trying to explain why it's important to people that don't understand affiliate marketing, but this is just straightforward and to the point on what it really means / impact.
    [B][COLOR=Navy]Nadia Levine (van Rooyen)[/COLOR][/B]
    Senior Manager, Affiliate Practice at Vantage Media
    nlevine(at)VantageMedia.com

  18. #18
    Believe knight01's Avatar
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    Important to note its over for this bill but it's not completely over. This will be an ongoing battle. Don't let your guard down.

    Quote Originally Posted by kgarcia
    Just to note, this is not a completely dead issue... there is yet another new bill from Wednesday night, ABX3 19, which is identical to SBX3 17, floating about now from the Assembly. As soon as I know more, I'll update everyone.
    Thanks for the information and the updates Karen!
    Someday starts today
    Military Discounts

  19. #19
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    Karen Garcia, thanks for being our eyes and ears up there in Sacramento.

  20. #20
    OPM and Moderator Chuck Hamrick's Avatar
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    Web retailers, states tussle over tax rules
    How can we get Arnold to call all his other governors and explain it to them
    Don't have to, this AP story has hit all the major news outlets: Web retailers, states tussle over tax rules

  21. #21
    Life is Supposed to be Fun! Rexanne's Avatar
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    Cautiously unpacking my possessions ... what a relief for all CA affiliates.
    Peace,

    Rexanne

    Rexanne.com
    Loving Everyone's Child Creates Magic


  22. #22
    Affiliate Manager Alan Hamilton's Avatar
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    Looks like surfs up in CA Rex!! I'm very happy for you, other CA affiliates and the merchants whose programs you all support.
    Join the Spicy Aprons Affiliate program on ShareASale Visit us on Facebook www.facebook.com/spicyaprons Follow us on Twitter @Spicyaprons

  23. #23
    Affiliate Manager Matt McWilliams's Avatar
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    Quote Originally Posted by Rexanne
    Cautiously unpacking my possessions ... what a relief for all CA affiliates.
    Hopefully you can keep them unpacked for GOOD!
    Matt McWilliams
    Call Me At: (317) 825-8826 | Follow Me On Twitter: @MattMcWilliams2 | Connect With Me On LinkedIn

  24. #24
    Member ETRdahir's Avatar
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    Arnold really had no choice here after already rising taxes in California. Glad to Muscles from Brussles doing the right thing. Go Commando!!

  25. #25
    Affiliate Manager harrymond's Avatar
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    Great News!! Happy for all CA affiliates
    Cheers,

    Harry.
    Mondera Affiliate Manager
    http://www.mondera.com/affiliate_support/
    Winner of the LinkShare 2004 Golden Link Awards "Affiliate's Choice Award"
    Winner of the 2002 Abestweb.com "Best Affiliate Program Award"

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