Overstock Severs Connecticut Ties Over Sales Tax
- May 26, 2011 | Steven Dunston

Overstock.com is joining Amazon.com in their escalation with states over collection of Internet Sales Tax. The battle moved this week to Connecticut, where Overstock.com is upset about recent legislation.
The Salt Lake City-based company said Tuesday it believes the law requiring out-of-state retailers to collect sales tax is unconstitutional. Web sites that get a share of the sales price when an online customer buys a product through an Overstock.com ( OSTK - news - people ) link will no longer be paid. The 6.35 percent tax, which applies to online sales for the first time, takes effect July 1. The state expects to raise $9.4 million. —Forbes

