UPDATE 4: Haslam announces deal with Amazon, more jobs in TN - WRCBtv.com | Chattanooga News, Weather & Sports

UPDATE 4: Haslam announces deal with Amazon, more jobs in Tennessee

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CHATTANOOGA (WRCB) - Governor Bill Haslam announced a deal with Amazon to collect taxes and add new jobs in Tennessee.

The state has agreed to a deal with the internet retail giant to collect taxes on sales made in the state beginning in 2014.

At a news conference at the State Capitol, Haslam announced that Amazon will also expand its operations in Tennessee, bringing a total of 3,500 jobs to the state.

Currently, Amazon has extended job offers to 1,500 employees in Southeast Tennessee. The additional jobs will be split between Hamilton County, Bradley County and else where in Tennessee.

The retailer has proposed building  up to three more distribution centers near Nashville or Knoxville.

"This is the best possible solution because it balances job creation for our citizens with tax policies that provide a level playing field among online and bricks-and-mortar retailers," said Tennessee House Majority Leader Gerald McCormick. "I'm proud to have played a small role in protecting Tennessee jobs, especially new jobs for southeast Tennessee."

In April of this year, Amazon.com closed one fulfillment center in Texas and stopped plans to build others in the state after the lawmakers there could not reach an agreement with the company over sales taxes.

More recently, the internet giant reached a deal to collect sales taxes in California.

When the company broke ground on the two facilities in Southeast Tennessee ten months ago, Amazon said it anticipated having the fulfillment centers ready before the 2011 holiday season.

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