That's the preliminary ruling by a US District Court judge, at least: he's ruled that the law is unconstitutional on Commerce Clause grounds, and has issued a preliminary injunction to prevent the state of Colorado to enforce the disclosure rules on out-of-state vendors before the deadline. I am not a lawyer, but the short version is that the judge ruled that the Amazon tax law violated the Commerce Clause by putting regulatory and disclosure burdens on out-of-state vendors that were not present on in-state ones; that the plaintiffs (including the Direct Marketing Association) had a valid chance to prevail in the broader case; and that until the issue was involved it would be inappropriate for the State of Colorado to collect information as per the Amazon tax law.This is only a preliminary injunction, obviously: if this court or a higher one decides that the law is Constitutional after all it'll be reversed. That's why Colorado House Majority Leader Amy Stephens (Republican, of course) is introducing legislation repealing the original law. Colorado Senate Majority Leader John Morse (Democrat) is reflexively opposing the repeal, even though he's sufficiently ignorant of the ruling as to apparently think that either the DMA or its members have revenue caps of $600/year. New Governor Hickenlooper is thus in a bit of a jam; he's facing a House that decidedly flipped last election cycle and a looming court controversy, and a remarkably uneducated set of Senate allies on the other. That this can be fairly categorized as a 'bit of a jam' tells you a lot about the current ideological condition of the various state Democratic parties.
And, note: the entire point of this law was and is effectively moot anyway. Amazon promptly pulled out of its Colorado affiliate program a year ago as soon as the law was passed, as per its standard policy. The state of Colorado isn't getting that sales tax money - and it isn't getting the income tax that would normally come from transactions made through the affiliate program, which Amazon.com does report and people do pay state and federal income tax on.
Just like the Illinois Amazon tax fiasco from a couple weeks ago. Politicians just don't understand they can't FORCE a international buisness to do anything in their state. The internet buisness can cut all ties and further deprive the state of tax revenue. Higher taxes=less tax revenue. It has been proven time and time again but yet the dumb ass dhimocrats just can't wrap their small liberal brains around that simple fact.