published Monday, May 9th, 2011

Amazon.com announces plan for Indiana distribution center

  • photo
    Amazon.com warehouse in Goodyear, Ariz. (AP Photo/Ross D. Franklin)

NASHVILLE — Amazon.com Inc. today announced plans to open a new distribution center in Indianapolis and expand an existing one in Phoenix as part of the Internet retailer’s ongoing push to increase capacity.

The estimated 900,000-square foot fulfillment center in Indianapolis will be the company’s third facility in Indiana.

Amazon plans to add an estimated 400,000-square-foot expansion to its fulfillment center in Phoenix. Once complete, the facility will be more than 1 million square feet in size, making it one of the larger Amazon centers in North America.

“We are committed to growth in Indiana, because Governor [Mitch] Daniels and other state officials have demonstrated their commitment to Amazon jobs and investment,” said Paul Misener, vice president of Amazon Global Public Policy, in a news release.

Amazon now is building two one-million-square-foot distribution centers in Chattanooga and Bradley counties.

Some state lawmakers are objecting to the state’s commitment to exempt Amazon from charging Tennessee sales taxes on purchases made by its in-state customers. They have a bill that seeks to address that. The bill is expected to come up for discussion in the Senate Finance Committee on Tuesday.

House Judiciary Committee Chairman Eric Watson, R-Cleveland, a back of the Amazon project, is expected to address Bradley County commissioners and seek an expression of support.

Before speaking to the commission, Rep. Watson called Amazon an “amazing company.”

“Unfortunately, a few legislators seem to have taken their eye off the ball and want to try to force Amazon to pay sales taxes in Tennessee,” he said. “In my view, this attempt is unconstitutional and uncalled for. The U.S. Supreme Court has made it clear states cannot collect sales taxes from Internet-based companies.”

For complete details, see tomorrow’s Chattanooga Times Free Press.

about Andy Sher...

Andy Sher is a Nashville-based staff writer covering Tennessee state government and politics for the Times Free Press. A Washington correspondent from 1999-2005 for the Times Free Press, Andy previously headed up state Capitol coverage for The Chattanooga Times, worked as a state Capitol reporter for The Nashville Banner and was a contributor to The Tennessee Journal, among other publications. Andy worked for 17 years at The Chattanooga Times covering police, health care, county government, ...

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If those few legislators don't lighten up, Amazon may just pull out all together. What part of needing jobs don't those fools understand????

May 9, 2011 at 1:23 p.m.
Beamis said...

It is the sales tax itself that IS the problem not that they are being unfairly assessed to non-internet based businesses. Let's dare to propose that these levies going to the most non-productive sector of the economy, otherwise known as government, be drastically reduced or even eliminated all together. That would spur real economic growth instead of feeding that cancerous tumor which we all know to be parasitic in nature and insatiable in it's quest for ever more funds to feed its limitless hunger for power and control.

I'm glad Amazon is playing hardball and I DO buy from them because I DON'T like paying onerous sales taxes. Put that in your pipe and smoke it Mr. & Mrs. Tennessee legislator!

May 9, 2011 at 2:28 p.m.
LamontCranston said...

Am I just completely misunderstanding this? Amazon will not be paying sales taxes. The legislators are asking Amazon to collect sales taxes from Tennesseans and turn the taxes over to the state. I would think Tennesseans would prefer to keep the commitment made on their behalf by their elected legislators. Having a job paying a good wage, with benefits, is just not that readily available in TN. I believe if people really see what's happening here, the right thing is obvious.

May 9, 2011 at 2:35 p.m.
ninjapirate said...

"The U.S. Supreme Court has made it clear states cannot collect sales taxes from Internet-based companies"

That is a lie... Amazon collects sales taxes in 5 states where they have nexus.

May 9, 2011 at 6:15 p.m.
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