The New Jersey Assembly voted last week to exempt Amazon from sales tax collection until July 1, 2013, as long as Amazon proceeds with its plans to invest $130 million to develop distribution facilities in the state and create 1,500 full-time jobs. The bill, A-2608, which was introduced and sponsored by four Democratic legislators, has been sent to the New Jersey Senate.
The exemption bill, A-2608, also requires that:

● If the retailer locates its new facilities within a quarter-mile of public transportation, it must encourage employees to use public transportation. If the retailer locates its facilities further than a quarter-mile from public transportation, it must work with New Jersey transportation officials to provide an alternative plan for “viable” commuting options for employees who rely on public transportation.

● All workers employed in the construction of the new facilities be paid at least the prevailing wage for their positions.

● The retailer commit to continue operating its new facilities in New Jersey for at least five years following the sales-tax exemption period.
Sounds like an actual win for New Jersey versus the losses in New York and Illinois. If states can negotiate these tax push backs and require that at minimum the contracts are with in-state contractors its a big win.

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