Amazon Taxes Ameliorate Loss

February 1, 2017

Florence may be losing tax dollars due to the closing of several retail outlets, but it’s gaining them from another source. Amazon is now collecting 8% tax on purchases from Alabamians, then dividing the revenue among the state’s cities.

The City of Florence received $24,000.00 this past month. Assuming the amount remains static, tax coffers should be enriched by $288,000.00 in a year’s time. If more online sellers follow suit, it will go a long way to making up for the revenue reduction caused by the absence of Best Buy, Jos. A. Banks, and others deserting the Renaissance City.

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