Universal 1Password to start charging local and state tax on subscriptions

[Apple_Robert]

Starting this month, 1Password will start charging local and state tax on all subscription plans. I received an email about this change a few moments ago.
———————————————————————-
“1Password will begin collecting state and local sales tax starting September 14, 2020. Invoices issued before this date will not be affected.

Because your ZIP code is used to determine the correct tax rate, or whether tax is due, please take a moment to update your payment details to make sure you are charged correctly.”

 

[sparksd]

Yeah.

States will be able to charge sales tax on online purchases thanks to the Supreme Court | TechCrunch

In a five-to-four decision issued today, the Supreme Court ruled that states can make online businesses collect sales taxes -- even if they don't have a

techcrunch.com

 

[FireFish]

Starting this month, 1Password will start charging local and state tax on all subscription plans. I received an email about this change a few moments ago.
———————————————————————-
“1Password will begin collecting state and local sales tax starting September 14, 2020. Invoices issued before this date will not be affected.

Because your ZIP code is used to determine the correct tax rate, or whether tax is due, please take a moment to update your payment details to make sure you are charged correctly.”

What? But they're based in Canada?!!

 

[Apple_Robert]

What? But they're based in Canada?!!

I don’t like it either, even if it would only increase cost by $3 (for even math). I could always use Bitwarden. I like it as well. I also paid for lifetime with EnPass.

 

[sparksd]

What? But they're based in Canada?!!

Doesn't matter. It's the state the purchaser lives in collecting taxes on purchases made in the state.

Edit: An example is what B&H Photo in NYC says:

If your order is shipping to an address in a state which requires local sales tax collection on remote purchases, or is being picked up in our Manhattan SuperStore, local sales tax will be automatically collected unless the account is registered as tax-exempt. In some cases, we may provide an estimated sales tax amount until your exact location is finalized prior to order completion.

 

[chscag]

I guess that means we all need to move to New Hampshire.

 

[Apple_Robert]

I guess that means we all need to move to New Hampshire.

I wasn’t born with a trust fund so I don’t think I would be allowed to live there.

 

[atmenterprises]

Aren't people in the US supposed to report untaxed purchases on their state taxes anyway?

 

[sparksd]

Aren't people in the US supposed to report untaxed purchases on their state taxes anyway?

Yes. How it is handled varies by state. For Washington State -

https://dor.wa.gov/taxes-rates/reta...ying-field/consumers-buying-out-state-sellers