AUSTIN, Texas (AP) — Online retail giant Amazon.com will close its suburban Dallas distribution center after a dispute with the state over millions in state sales taxes.
The Associated Press obtained an e-mail Thursday sent to Amazon employees by the company’s vice president of operations. Amazon’s Dave Clark writes that the center will close April 12 due to Texas’ “the unfavorable regulatory climate.” It was not immediately clear how many employees work at the facility.
Last year the Texas comptroller’s office demanded $269 million in uncollected sales taxes. Amazon subsequently filed a lawsuit against the state, demanding it produce the audit that generated the figure.
The state contends that Amazon.com is responsible for sales taxes not collected on online sales in Texas.
The company has been the target of numerous lawsuits filed by states seeking sales taxes on online purchases.