Pat Quinn, the Governor of Illinois is signing the Affliate/Advertising Tax, House Bill HB3659 into law today.

There has probably been stronger opposition from the affiliate industry in this state than any other to date, and it still passed. Big Illinois companies like FatWallet and CouponCabin have publicly stated that they will move out of the state if this is passed, not out of defiance, but to save their businesses. It is a fact that Amazon will terminate affiliate relationships resulting in no collected sales tax.

So why is he signing it?

He's signing it because the proponents of this bill are backed by big box retailers who are throwing a ton of money at it.

They're leaning on state legislators with every bit of FUD they can muster (FUD = fear, uncertainty, and doubt). They are making this all about Amazon, even though to most affiliate marketers, this has little to do with Amazon.

Most importantly, they're playing the "fairness" card. It's not fair to main street retailers that Amazon has a sales tax advantage. "Amazon is not playing fair. Let's get 'em!"

This as become about emotion and principles which is impossible to fight with logic and reason. It doesn't matter that it is a bad bill. It doesn't matter that the end result is zero gained income tax revenue. It doesn't matter that Amazon can simply skirt the law by terminating all affiliate relationships in the state.

The bill passes.
Amazon terminates affiliates.
Other merchants do the same.
Affiliate-powered businesses large and small are decimated.

Tell me. How is that fair?