Determining how sales and use tax apply to software and digital goods can be intimidating for even experienced tax professionals, and with good reason. Companies across the board are constantly developing new software and digital products for the market and the result is a rapidly evolving tax landscape.
Sales of software, digital goods, and their related services can be taxed differently on a state-by-state basis as states work to understand new technologies, define them, and ultimately, tax them.
For example, the way in which software is delivered (tangible vs. electronically vs. remotely accessed) and whether it’s prewritten or custom can mean the difference between the sale being taxable or exempt.
You need to understand the differences in how these products are taxed no matter if you work on the buyer or seller side of software and digital good transactions. Attend this webinar to learn to manage sales tax correctly for these transactions so you can avoid costly errors and increased audit risk.
Who should attend?
This webinar is intended for financial and operations personnel—including tax, general accounting, accounts payable, sales, tax technology, purchasing and credit—who deal with sales and use tax as part of their responsibilities. The course is also intended for those who make sales or purchases of software and digital good products. The course is also designed for general practitioners, with minimal to no experience.
Diane L. Yetter, President & Founder, YETTER and Sales Tax Institute
Diane L. Yetter is the “Sales Tax Nerd TM” as well as a strategist, advisor, speaker and author in the field of sales and use tax. She is president and founder of YETTER Tax, a sales tax consulting and tax technology firm in business since 1996. She is also the founder of The Sales Tax Institute, which offers live and online courses to educate business professionals about sales and use tax.More About Diane L. Yetter
Taxation of software adds new layers of complication to the already complex nature of managing sales tax. And the challenge isn’t going away! Today, states continue to enact legislative changes that determine how they characterize sales of software. Plus, there is also an emerging trend across the states to tax digital goods (like podcasts, downloaded music, webinars, and eBooks) that tax pros need to stay ahead of to stay compliant.
States see the proliferation of new virtual goods and services as opportunities for new revenue streams and propose legislation accordingly. Are you aware of the changes taking place across the states? If not, you may be subjecting yourself to significant audit risk if you should have been collecting tax.
No matter what you sell, be it software or a digital good, you must look closely at its features and delivery method to compare with state rules. Some consistency exists among Streamlined Sales Tax states who have adopted the standard definition of “specified digital products,” but you still must approach taxation of your software or digital goods on a state by state basis.
Software-related services like software maintenance agreements bring further complications into the mix. The method of delivery and the manner in which the software-related service is sold often has an impact on the sale’s taxability. You need to know how to distinguish the services you provide so you don’t create a tax obligation unnecessarily.
This webinar will help both buyers and sellers of software, digital goods, and accompanying services understand how these products are taxed and provide guidelines to follow. We’ll also cover the practical issues you need to know such as contract and invoice language, documentation of delivery method, and sourcing rules.
In this 90-minute live webinar, sales tax expert Diane Yetter of the Sales Tax Institute will teach you the different ways that software, digital goods, and related services can be taxed. She’ll share all the important recent legislative changes regarding software and digital goods across the states to keep you up to date. You’ll also learn about exemptions that are available for software and digital good purchases, so you can take advantage of cost-savings opportunities.
PLUS, during the live Q&A portion of the webinar, you can get answers to your specific sales tax questions directly from Diane.
Webinar attendees can earn 1.5 hours of CPE credit in the “Taxes” field of study
Prerequisites: This course requires no prerequisites or advance preparation.
Program Level: Basic
Delivery Method: Group Internet-Based