Hacker News Reader

Can you expand on what these consequences are a bit for those of us unfamiliar...?

Netflix has facilities in most states. Amazon would have to collect sales tax in most (if not all) of these states.

Doesn't Amazon have facilities all over the country as well?

Almost all of them are in places where there is no local or state sales tax.

One exception of course being WA (where Amazon has its corporate headquarters) which has a substantial sales tax but no income tax.