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Unhappy Friday Reading, and a Message to New York State

May 23rd, 2008 Posted in affiliate marketing

Linda at 5 Star was kind enough to point this post out to me on some thoughts from a legal brain on the current state of affairs for New York (and down the road, other) affiliate marketers.

First, the message to New York from John Dozier:

So, the final message is for the State of New York: If the momentum continues, New York affiliate marketers will be shut down entirely. You should have anticipated this consequence. No, you will not increase your tax base significantly. But you have added to your unemployment rates. We need to work together to save the many New York businesses going under.

I would encourage everyone to read Dozier’s post in it’s entirety, about 10 times.  I think it speaks a lot to what we can expect in the coming weeks, months, and years.  Industries our size do not go unnoticed forever.  They are not beyond the auspices of local, state and federal agencies, be they cruising for revenue, or trying to uphold the law of the land.

Further reading into the TSB from New York should also tell affiliates that think they can lie low that their marketing practices are NOT in fact a secret, and no-one else’s business.  In fact, New York has taken a deep interest in understanding EXACTLY how you promote your website.

Friends.  The time has come.  We need an organization.  Quickly.

To hide under your bed sheets and hope “they” will all leave you alone is now ineffective.

I’m not saying it has to be the Hall of Justice for affiliate marketing.  It doesn’t need to micro examine the business practices of every affiliate.  What it does need to do is lobby, educate, inform, and publicize.

And it needs to happen 2 months ago.

If the industry needs someone to step up and work on getting this thing going full time, it’s unfortunately looking like I’ll have lots of time on my hands.  While my affiliate work won’t be done, as I have word from a MINUTE HANDFUL of merchants that they aren’t dumping NY affiliates, I think I can also spend time doing more important things.

Just putting that out there.  Certainly not saying I am the most well educated affiliate marketer this side of the Missisip, I’m just saying I’m willing.



Viewing 2 Comments

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    Hi Kevin,

    Thanks for sharing that info with everyone!

    Re organizing...

    I had another long call with John Dozier today on a variety of related issues. But one thing he said is we really need to form a group to fight this thing. He said does not need to be a long complicated thing like forming an association. Just a special interest group would do.

    Some of us have a grass roots project started, some of your readers may be interested in.
    Quoted from the bottom of the blog post you referenced above:

    "FURTHER ACTION: A group of industry leaders and I are in direct communication with Jim Connolly, Staff Attorney in the Office of Counsel to the Tax Department of the State of New York. We are pulling together a list of important questions in order to get clarification on numerous issues. Jim has agree to answer the questions publicly. There are many gray areas and much of the language is unclear, so this should help everyone a lot.

    If you have questions please post them in the comments at the link below and we’ll include the most relevant ones in the list that goes to Mr. Connolly. Additionally, there is a chance John Dozier could weigh in on some of the questions you post over at 5 Star."

    Dozier Internet Law: 10 Tips for New York Affiliate Tax Problems

    Thanks Kevin for reporting on this for your readers!

    Linda Buquet
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    I'd certainly like more info on the grass roots organization to see what you're working on. As I mentioned, I'm not suggesting that I pick up the torch and run, but rather throw my time at it. I believe that the issues are serious enough now, and will become more serious in short order, that everyone in this industry needs to check their ego at the door, and get things done.
 
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