Does the Internet Vendor Sell Items or Engage in Activity That is Subject to the Destination State's Sales and Use Tax?
Sales and use taxes arise from state law and vary from state to state.
Sales and use taxes arise from state law and vary from state to state. A few states – such as New Hampshire and Oregon – have chosen not to impose a general sales or use tax at all. Other states have elected to tax not only sales or rentals of tangible personal property, but also virtually every type of business transaction, including services. Other states fall somewhere in the middle. This white paper reviews software and information services purchases.