CA state is indeed considering to follow New Yorks steps after the "Amazon Tax" case, but at this stage no sales tax should be applied to digital download sales in CA state. From my understanding most states will follow as under the current economic situation, this is another way for all states to recoup. Its expected digital download sales will be under their audit radar too in 2009, as there is too much activity after App Store launch in mid 2008. G
On Mon, Mar 9, 2009 at 2:10 AM, Stoyan Damov <[email protected]> wrote: > > George, are you sure CA's tax is 0% for digital downloads? > I'm not from (and in) US and searching for CA's tax on digital > downloads resulted in quite a few articles (from 2008) that the state > is considering to add such a tax. > > Thanks! > > On Sat, Mar 7, 2009 at 3:58 PM, george_c <[email protected]> wrote: > > J, > > Preparing a service that will help developers > > align themselves legitimately how to across the globe. > > Developers that wish to participate and take action, feel free to join. > > > http://www.thepoint.com/campaigns/android-developers-international-tax-consultation > > > > For now, when selling across the world, set your sales tax rates > according > > to this table for EU sales (or when Market starts selling in EU) > > > http://slideme.org/faq/developers/why-are-taxes-deducted-my-applications-selling-price > > Last one being WA, USA State tax rate at bottom would need to be changed > to > > your state tax rate. Change that to your state you have signed up to > Google > > checkout with and any other state you have signed some distribution > > agreement with or created nexus. You need to confirm for now from your > > accountant what the state tax rate if for digital downloads (where you > are > > located and what you used to sign up o Google Checkout) > > I will also gather info how to depict if you have nexus in other states > but > > best person will be you Accountant, that knows your current activities > and > > where you have possibly nexus. Do hand them the link to the distribution > > agreement you signed with Android > > Market. http://www.android.com/us/developer-distribution-agreement.html > > as this may create nexus for you also on the state of CA also for your > other > > business activities. For CA state you don't need to apply a sales tax > rate > > as CA state is 0% for digital downloads. > > Will gather info and make it available at thepoint group. Will try my > best > > to invite some skilled experts to express their opinions and provide some > > advise. > > George > > > > > > > > > > > > On Thu, Mar 5, 2009 at 6:22 AM, j <[email protected]> wrote: > >> > >> Gil, How do you know developers are not charging sales tax? I am > >> about to publish my first app and currently setting up my merchant > >> account. > >> > >> George, can you elaborate on the model? I am just a programmer... I > >> don't know sales tax rules. > >> > >> On Feb 25, 5:20 am, george_c <[email protected]> wrote: > >> > Google won't determine where you have nexus. You need to know this and > >> > submit taxes collected to all the states you have nexus. You need to > >> > chargesalestaxin all the states where you have nexus. Nexus can be > >> > created even by an agent. > >> > > >> > Unfortunately, it has been mentioned that developers need to manage > >> > all taxes & liabilities on their own. > >> > > >> > There is a model that works and takes the weight away from the > >> > developer. I can expand on it if most developers would be interested > >> > in such a solution. > >> > > >> > I quote: > >> > "Nexus = connection. If you have nexus with a state, they can grab you > >> > andtaxyou. If you don't, they can't. Think of it like an electric > >> > socket. If you have no nexus it can't shock you, but stick your finger > >> > in it and watch your hair curl." > >> > > >> > George > >> > > >> > On Wed, Feb 25, 2009 at 7:14 AM, Gil <[email protected]> > wrote: > >> > > >> > > Regarding the nexus question: I thought that Google Checkout handles > >> > > it. In other words if you specify from what state your business is, > >> > > Google Checkout would calculate thetaxcorrectly. As a developer (who > >> > > is incorporated) all you have to do is to specify the state you are > >> > > in. If you don't, nosalestaxis added to purchases (it makes sense). > >> > > The question is: should you? It seems that nobody has done it (none > of > >> > > the apps I seen chargesalestax). > >> > > >> > > On Feb 24, 6:58 pm, george_c <[email protected]> wrote: > >> > >> All of you should be careful of where you have nexus, meaning > where> > >> > >> you have some business activity (not only presence) and keep aware > >> > >> that you need to chargesalestaxin every state that you have nexus > >> > >> and within each state you also have differentsalestaxes and then > you > >> > >> may also need to manage your B&O side of things. Hey, the list > goes > >> > >> on.... > >> > > >> > >> 2009 is the year the IRS will be cracking down on digitalsales, > hope > >> > >> you get some insight from yoursaleschannel you are stocking your > >> > >> apps to. > >> > > >> > >> It's illegal to sell anything into the EU without charging VAT. Are > >> > >> you collecting VAT? Who is collecting it for you? > >> > > >> > >> Question you should ask your CPA. Who is selling your app? Are you > >> > >> selling it as a developer or do you have a reseller lined up > >> > >> somewhere? Why are you using your own Google Checkout account to > >> > >> sell? So who is selling your app? > >> > > >> > >> Good luck. > >> > > >> > >> George > >> > > >> > >> "tried to help the small developer, has anyone listened?" > >> > > >> > >> On Tue, Feb 24, 2009 at 7:44 PM, Gil <[email protected]> > >> > >> wrote: > >> > > >> > >> > Developers, > >> > > >> > >> > Does anyone know if developers should setup their Google Checkout > >> > >> > merchant account to addsalestaxto transactions. I know how to set > >> > >> > it up I just wonder if it should be setup. I am interested in US > >> > >> > originating transactions (at least for now). > >> > > >> > >> > It looks like most applications do not chargesalestax. In fact I > >> > >> > had > >> > >> > not found one that does. > >> > > > > > > > > > > > > > --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Android Discuss" group. 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