State sales taxes cut Amazon's purchases by 9.5 percent: Study

Jeff Bezos, CEO of Amazon
Emmanuel Dunand | AFP | Getty Images

E-commerce giant Amazon has a distinct advantage on the sales tax front—in most places.

In states that do collect taxes on Amazon's sales, customers spend 9.5 percent less on Amazon purchases according to a study by the National Bureau of Economic research. Details of the study were reported in Vox.

Employees collect packaged customer orders from a conveyor belt ahead of shipping at one of Inc.'s fulfillment centers in Rugeley, U.K.
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The 245,000 households surveyed in the study also apparently flocked to other retailers. Competing online retailers saw their business grow 20 percent in those states, and brick-and-mortar retailers saw their business grow 2 percent, according to the study.

The study comes as Congress considers the Marketplace Fairness Act, a bill that would allow states to collect taxes on all e-commerce purchases.

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