Amazon.com has filed a lawsuit against New York State's new law which forces online retailers to collect sales tax on shipments to state residents.

The law, which came into effect April 23, is expected to raise about $50 million. Amazon filed the complaint in State Supreme Court in Manhattan against the law, which was approved as part of the $122 billion state budget that Gov. David A. Paterson signed.

We are challenging the constitutionality of the recently enacted legislation in New York, Amazon spokeswoman Patricia Smith said, according to Associated Press.

The law requires that out-of-state Web retailers to collect sales taxes from customers in the state if the retailers have New York-based representatives soliciting business on their behalf.

Tom Bergin, a spokesman for the state Department of Taxation and Finance, said the change is a necessary update.

Everyone in New York State either pays sales tax on articles that they buy or is required to pay sales tax on articles that they buy, he said.

This is not a new law; this is just amending the law to bring some of the new technology, the Internet, into compliance.

New York Amazon Lawsuit