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Sales Tax Notes

Andy edited this page May 17, 2022 · 1 revision

How to handle sales tax on shipping: A state-by-state guide

Digital Goods:

  • There are 28 states that tax digital products.
  • There are 23 states that do not tax digital products.
  • 4 states do not have a retail sales tax at all; these include: Delaware, Montana, New Hampshire and Oregon.
  • For the states that tax digital products, the tax rate varies from 1% to 7%, depending upon the state and the type of digital good.

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