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Amazon sales tax deadline in California spurs last-minute shopping

September 14, 2012 12:00:00 AM PDT
Californians who shop on Amazon.com will soon have to pay a little bit more on their purchases.

Starting on Saturday, the Internet retailer will begin collecting 8.75 percent sales tax from its customers in California.

The tax is part of a new law that affects more than 200 out-of-state online companies that do business in California.

It is expected to generate more than $200 million annually, with at least $80 million coming from Amazon alone.

The midnight deadline has spurred at least some consumers into impulse-buying mode, making big-ticket purchases and stocking up on essentials before the tax collection kicks in.