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  1. schaplin's Avatar
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    #21  
    I live in VA and have never paid tax on any apps....and I have bought 23. That's just weird.
  2. rasen's Avatar
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    #22  
    The law is pretty convoluted, let's see if I can explain it well enough.

    You pay tax, per state, because Your Phone is the store. Therefore, since Your Phone is in a tax paying state, you pay tax. It's all dependent on if your state has taxes on internet goods. But generally, you pay tax is the distribution center is in your state.

    Amazon gets around this in weird convoluted ways (there's an article either on Engadget or Gizmodo about this). Netflix actually has you pay tax also, but they roll that into your subscription fee. Since your DVDs are in state also.

    TLDR your phone is the store and distro method. Therefore susceptible to taxes.

    GIZMODO (Gawker Media): Link
    NYT: Link
    Last edited by rasen; 01/10/2010 at 10:26 AM.
  3. #23  
    Quote Originally Posted by rasen View Post
    The law is pretty convoluted, let's see if I can explain it well enough.

    You pay tax, per state, because Your Phone is the store. Therefore, since Your Phone is in a tax paying state, you pay tax. It's all dependent on if your state has taxes on internet goods. But generally, you pay tax is the distribution center is in your state.

    Amazon gets around this in weird convoluted ways (there's an article either on Engadget or Gizmodo about this). Netflix actually has you pay tax also, but they roll that into your subscription fee. Since your DVDs are in state also.

    TLDR your phone is the store and distro method. Therefore susceptible to taxes.

    GIZMODO (Gawker Media): Link
    NYT: Link
    thanks

    i take it it has to do with your phones area code as well.. as i have a NY number but am now a NJ resident
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