My Day at the Connecticut State House

by Scott Jangro on March 25, 2010

Hartford CT is just 90 short minutes from my house, so I went down there yesterday to support a handful of Connecticut-based affiliates who were also heading over in an effort to put a stop to SB 5481, CT’s version of the advertising tax.

To the uninitiated, this seems like a pretty intimidatng thing, to head to a state capital and face state representatives. But it really couldn’t be farther from the truth.

Here’s what it’s like. We hang out in the lobby and hallways outside of the meeting rooms.

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The place is swarming with lobbyists. They are there all day long pulling legislators aside and talking to them about the issues. There were at least three lobbyists there working on this issue with us. They made every introduction.

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We were among the ONLY non-lobbyist and non-government individuals in the whole place. You don’t think that makes an impact? Think again.

Here’s the crew, with me way in the background as I should be in Connecticut (I’m from Massachusetts). The folks with me are the heroes who are stepping up on behalf of the thousands of affiliates in Connecticut.

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In this picture are affiliate marketers (L to R) are John Napoletano, Vincent Villano, Kevin Mardorf and his GF Jennifer, Tom Caporaso, and Scott Jangro (yours truly).

Are You From Connecticut?

If you are an affiliate from Connecticut, your livelyhood is at risk. There is somehthing you can do about it immediately.

First, make a call or send an email. Send an email NOW as the Finance Committee meeting is this afternoon. They need a stack of printed emails to wave around.

UPDATE: The bill has passed the finance committee with votes along party lines. This spells trouble as the House and Senate are both majority Democrats and will keep pushing this through barring any reason to do otherwise. You are the reason to do otherwise, so call and send letters and emails. They do make a huge difference.

Here’s a list of the CT Finance Committee members. Just tell them about yourself, where you live, that you oppose the bill, and that you are concerned that your job is in jeopardy because advertisers and merchants will terminate their relationship with you rather than collect sales tax from CT residents.

Second, keep an eye out for the next time folks are gathering at the capitol. The best way to do this is to get yourself onto the PMA email list as a CT affiliate.

I promise you, it is nothing but fun and rewarding. It’s like an affiliate marketing meetup with an occasional discussion with state reps.

Save your own ass by getting off it!

Read more here at the PMA website.

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Today marks the first time a merchant closed down their entire affiliate program because of the various state legislations taking on the Advertising Tax.

If you’re an affiliate who has moved your business to another state, of if you’re sitting in a no-sales-tax state like New Hampshire thinking that you’re untouchable, you’re wrong.

This letter came from Drs. Foster and Smith to all affiliates today (bold is mine):

It is with great regret that we have to inform you that we are shutting down affiliate marketing at Drs. Foster and Smith effective immediately February 22, 2010. This closure is across the board in all states with all affiliates and is not related to you only as one of our affiliates.

We regret having to do this for a variety of reasons, not the least of which is that so many of you have done a great job for Drs. Foster and Smith and will be adversely affected by the loss of revenue from Drs. Foster and Smith sales. Thank you for all you have done to promote our company on your web sites. We apologize for the hardship and inconvenience that this creates for you.

The single reason for the decision at this time is the moving target of the ever-growing patchwork quilt of state legislatures that are considering nexus legislation relative to affiliate marketing and sales tax. It has become increasingly difficult to determine who is considering such laws, where they are in the process and what the ramifications are in each state. What affiliates may not be aware of is that such nexus situations do not only relate to sales tax collection, but potentially state income tax for a corporation as well.

We wish there was clarity on this issue from state to state and nationally, but there isn’t. So until this matter is cleared up nationally, we are shutting down all affiliate marketing. We apologize for any hardships this brings to you and your team. We have greatly appreciated the work that you have done on our behalf. The sudden nature of the move by California to reintroduce legislation late last week and to push for a quick vote, emphasized the ever-changing nature of this issue and our need to be ahead of such votes and decisions.

With our appreciation for your contribution to our company,

Sincerely,

Drs. Foster and Smith Affiliate Marketing Team

This isn’t just happening to NC, RI, and a few other states. It is officially happening to all of us.

They are SHUTTING DOWN AFFILIATE MARKETING.

More here and here.

Get involved.

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Say No to the Advertising Tax. Activity in at Least Six States

February 20, 2010

There’s been a great movement this past week of people creating videos speaking out against the advertising tax. I think this is fantastic and few things would speak louder than a whole bunch of these videos.
Listen to these videos from affiliate marketers speaking out against the advertising tax.
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There is currently legislative [...]

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Check Out Commission Junction’s Affiliate Tax Info Page

February 19, 2010

If you haven’t seen it by now, CJ has put together a very nice resource page sharing all the information they’re gathering. Commission Junction clearly has some serious resources on this issue, as I know all the networks do, but it is great to see some very visible results of these efforts.

A US map [...]

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Twitter Ads: Recommendations? or Opportunistic?

February 15, 2010

Are you seeing more ads from your friends on Twitter? Several of the people I’m following on Twitter are pushing ads through their Twitter streams. I assume they’re using services like Sponsored Tweets, though they could simply be affiliate links.
First, this post isn’t meant to be critical of their activity. It’s just [...]

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Buzz is a Game Changer

February 11, 2010

After a day of Google Buzz, you’re probably starting to form your own opinions.
Many have called it a Twitter killer. Others claim that it is making a play on Facebook. Calacanis stated that Facebook’s valuation dropped in half yesterday.
Personally, I absolutely love it. Here’s why…
It is integrated with GMail. I’m in [...]

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Senator Brophy Giving CO Affiliates a Glimpse of Amazing News

February 5, 2010

Are you reading these Twitter updates from Senator Brophy of Colorado today?
Looks like there is some good news coming for Colorado affiliates, even better than I talked about earlier today…
(times are based on approx 8:30 pm CT Friday Feb 5)

Senator, if you’re reading this, thank you for your support, openness, and most of all common [...]

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What Really Happened in Colorado

February 5, 2010

If you’re reading this, you must know that Colorado affiliates are currently in the fight for their livelihoods.
Last night, the Colorado Senate passed HB1193, the Colorado version of the Affiliate Tax.
There were well over 100 affiliate marketers at the Capitol for the entire day yesterday (some for the entire week) talking to Senators about this [...]

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Vermont Affiliate Tax

January 30, 2010

Yesterday, the State of Vermont introduce an Affiliate Tax bill of their own, Bill H.661.
Title: An Act relating to Taxation of Certain Internet Sales
Sponsors: Jeffrey Wilson (D), John Rodgers (D), and Megan Smith (D).
(Vermont Legislature Directory)

There’s no word yet from inside sources on how real a threat this is. It may [...]

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Colorado Finance Committee Hearing on Affiliate Tax Outcome

January 28, 2010

Well, it could be worse.
The Colorado Finance Committee had a hearing on Senate bill 2927 today.
According to Rebecca Madigan, who was there to testify on behalf of the PMA, more than 100 affiliate marketing supporters showed up in force. Rebecca herself almost didn’t make it due to flight issues. After a day of [...]

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