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Level 2
April 4, 2021
Question

Online subscriptions

  • April 4, 2021
  • 1 reply
  • 11 views

Do I have to pay sales tax on online subscription services?

    1 reply

    MaryK4
    Level 15
    April 4, 2021

    If you mean for online services, some states treat SaaS similarly to prewritten software purchased and downloaded via the Internet, whereas others see this as a service, which may or may not be taxable. 

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    Level 2
    April 4, 2021

    What states are exempt?

    KathrynG3
    Level 14
    April 5, 2021

    Alaska, Delaware, Montana, New Hampshire, and Oregon do not have sales tax.

     

    However, for the particular treatment of software for a service, I recommend contacting your state directly. 

     

    See: How do I contact my state Department of Revenue?