A company’s sales of canned software that is downloaded by customers over the internet are not subject to Missouri sales and use tax. The company’s database file software will only be able to be purchased and downloaded on the company website, and the software is not customized for customers. The company’s website is maintained on a server outside of Missouri. Customers purchasing the software never take possession of tangible personal property. As such, purchases of the software downloaded over the internet are not subject to Missouri sales and use tax. (Letter Ruling No. LR 7074, Missouri Department of Revenue, March 29, 2012)