Internet companies such as Amazon and Overstock are threatening to pull out of California rather than collect state sales tax on tens of millions of dollars worth of business, the Los Angeles Times reports.

The move comes after the Golden State’s Assembly passed a law expanding the tax to Internet sales for companies that have a physical presence or sister companies with offices there.

The move passed the Democrat-controlled lower house on Tuesday on a 47-16 vote. It now goes to the Senate.

internet tax california"We're not imposing a new tax," the bill’s sponsor, Assemblyman Charles Calderon, said. "What we are suggesting is a way to collect a tax that goes uncollected."

"If you oppose this bill, you support tax evasion and are anti-business and are not listening to your constituents."