It is that time of year again, where we are all trying to get together all of our paperwork for Uncle Sam.  And this activity must have brought this ongoing question to fruition again.

“Do I charge sales tax on a digitally delivered product?”

This question was asked to me by 2 different clients last week, and the answers were completely different!  I realized that there are probably several other business owners out there that are seeking the same information, so I thought I would take a look around and see what I can find.  And get this… I found that from state to state the laws differ and there is no master list that gives us an quick glance to know if we are to charge sales tax on a digitally delivered product in the state that we do business.

Sales & Use Tax is regulated by the state that you are operating out of.  For example, a business in Washington state may have completely different rules than a business in Kansas.  So, rather than going out on a limb and trying to pull together a list for y’all that will only be out of date shortly, I decided to just bring this to your attention so you can get the up to date, correct information!

…If you are setting up a new product in InfusionSoft, this is a perfect time to double check the laws.  Please contact your accountant, or the state that your business is located to find out what the laws are that govern your business.

***Disclaimer:  I am not an accountant, nor do I plan to be… This is only a suggestion that you contact someone with real accounting skills to get your information.