[Hidden-tech] Massachusetts sales tax policy

[Shel Horowitz]

Correct that services are not taxable in MA. However, most hard goods are.
It is unclear to me whether ebooks are taxable even though they don't
physically exist--but as a vendor, I take the safe approach and
collect/remit tax on both physical and e-sales to MA addresses. But several
years ago, I did change the structure of one product line, where I had been
charging tax on electronic storage of a document but not on creating the
document itself. I decided that was silly in this virtual era, upped the
price of the service five bucks and included the electronic delivery in the
price (non-taxable).
ᐧ

On Mon, Nov 8, 2021 at 3:04 PM Marcia Yudkin via Hidden-discuss <
hidden-discuss at lists.hidden-tech.net> wrote:

>
> Hi everyone,
>
> I received a notice from an online company I do business with saying that
> they are going to start charging sales tax on their subscription fees.
>
> This seems totally wrong to me for two reasons.
>
> 1)They announced it as a blanket policy, although each state has different
> tax policies and some states have no sales tax at all. (eg New Hampshire)
>
> 2)In Massachusetts, from what I know, sales tax is not levied on services,
> only on products. That means that a subscription fee is not subject to
> state sales tax. Isn't that correct?
>
> I want to make sure I'm on solid ground before I write back to them to
> object. And if they do go ahead and charge sales tax improperly (the
> subscription fee is $500/year so this would be $25+), how do you suggest I
> deal with that? Object to the credit card company if they won't budge?
>
> Thanks,
> Marcia Yudkin
> www.yudkin.com
> _______________________________________________
> Hidden-discuss mailing list - home page: http://www.hidden-tech.net
> Hidden-discuss at lists.hidden-tech.net
>
> You are receiving this because you are on the Hidden-Tech Discussion list.
> If you would like to change your list preferences, Go to the Members
> page on the Hidden Tech Web site.
> http://www.hidden-tech.net/members
>


-- 
Shel Horowitz - "The Transformpreneur"
________________________________________________
Contact me to bake in profitability while addressing hunger,
poverty, war, and catastrophic climate change
* First business ever to be Green America Gold Certified
* Inducted into the National Environmental Hall of Fame
* Certified speaker: International Platform Association
http://goingbeyondsustainability.com
mailto:shel at greenandprofitable.com 413-586-2388
Award-winning, best-selling author of 10 books.
Latest: Guerrilla Marketing to Heal the World
(co-authored with Jay Conrad Levinson)

Watch my TEDx Talk,
"Impossible is a Dare: Business for a Better World"
http://www.ted.com/tedx/events/11809
(move your mouse to "event videos")
_________________________________________________
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://lists.hidden-tech.net/pipermail/hidden-discuss/attachments/20211108/3ff12d15/attachment.html>