Haslam Announces Agreement with AmazonThursday, October 06, 2011 | 11:45 am
Company to create thousands of jobs and to make significant capital investment in state
NASHVILLE – Tennessee Gov. Bill Haslam today announced an agreement with Amazon resulting in the company’s subsidiaries creating 3,500 full time Tennessee-based jobs with benefits, thousands of seasonal jobs along with making $350 million in capital investment by maintaining the previously announced projects in Hamilton, Bradley and Wilson counties and additional projects in Tennessee.
Amazon’s commitment today represents 2,000 more full-time jobs than were originally announced in Hamilton and Bradley counties.
“We are proud that this worldwide brand has chosen to make a significant investment in Tennessee and is committed to expanding its presence here,” Haslam said. “This agreement balances meeting the needs of the company and the needs of the state by providing certainty to Amazon and brick and mortar retailers in Tennessee regarding sales tax.”
The governor was joined for the announcement in the Old Supreme Court Chamber in the Capitol by House Speaker Beth Harwell, legislative leadership, legislators representing the communities with ongoing Amazon projects, company officials along with Revenue Commissioner Richard Roberts and Economic and Community Development Commissioner Bill Hagerty.
Under the agreement, which will require legislative action to implement, Amazon will also begin to collect Tennessee sales taxes beginning January 1, 2014 unless a national solution is addressed before that time.
Currently, Tennessee law requires that consumers pay use tax to the Tennessee Department of Revenue when making an online purchase from any retailer that does not collect sales tax. After 2013, responsibility for collecting and remitting the Tennessee tax will shift to the company. In the event that the U.S. Congress acts before January 1, 2014, all online retailers will collect sales tax at the time federal legislation is enacted.
The agreement will be presented to the General Assembly as legislation for consideration when members convene in January.