Jump to content

US Residents to begin paying Sales Tax

LittleMe Jewell

By LittleMe Jewell,
in General Discussion Forum

 Share
You are about to reply to a thread that has been inactive for 900 days.

Please take a moment to consider if this thread is worth bumping.

Recommended Posts

Silent Mistwalker

Silent Mistwalker

Posted
Posted
16 minutes ago, Ceka Cianci said:

I actually didn't go back to work this week until last night.. It felt like a long weekend.. I  bought lindens yesterday.. I guess I lost track of my day with yesterday feeling like a sunday for me..hehehe

Good thing Ls aren't one of the things LL is collecting tax on just yet then. 🤭

Link to comment
Share on other sites
  • Replies 245
  • Created
  • Last Reply

Top Posters In This Topic

Popular Days

Top Posters In This Topic

Popular Days

Popular Posts

Persephone Emerald
Persephone Emerald

I haven't read the comments yet, but wanted to respond. Blaming sale tax is disingenuous of Linden Lab. The court ruling in question was in 2018, so this is not a new development. In the meantime

Sid Nagy
Sid Nagy

We Europeans are paying taxes for the use of SL for years already. One gets used to it. As long as one likes the platform enough one will shell out the extra shekels. Of course there will be peopl

Prokofy Neva
Prokofy Neva

Another reason to move to Florida, which has no sales tax. Now Americans can feel in part what Europeans did having to suffer the VAT years ago. I have already been unloading some project la

Posted Images

Drake1 Nightfire

Drake1 Nightfire

Posted
Posted
37 minutes ago, FaintOutline said:

How is your location determined by LL?      They have no physical address for me other than my login location, which varies according to where I am when I log in.   Will I suddenly be charged VAT because of traveling?

Well, yes... It depends on where you log in. My state doesn't charge tax on digital goods. New York does, if I travel to New York and have to pay my land tier while on vacation, I would be charged tax on it. 

Just like if you travel to another state/country, you have to pay their local taxes... 

  • Like 1
  • Haha 2
Link to comment
Share on other sites
LittleMe Jewell

LittleMe Jewell

Posted
  • Author
Posted (edited)
2 hours ago, FaintOutline said:

How is your location determined by LL?      They have no physical address for me other than my login location, which varies according to where I am when I log in.   Will I suddenly be charged VAT because of traveling?

Someone mentioned that the Billing Address associated with your payment method -- credit card or PayPal -- would be used.

LL also has a general location of where you were when you created your account -- they might use that.  

I highly doubt that it will be based on where you log in from one day to the next.  Although, I would think that they would have to disclose how they are determining it. 

@Linden Lab - Can we get information on how the applicable tax rate is to be determined?  One would think that you would be legally obligated to provide that info.

 

Side note:  VAT is not the same as Sales Tax.  If you are located in the US, you MIGHT be charged sales tax based on your location, whereas VAT is only applicable to Europe.

Edited by LittleMe Jewell
  • Like 1
Link to comment
Share on other sites
LittleMe Jewell

LittleMe Jewell

Posted
  • Author
Posted
53 minutes ago, FaintOutline said:

Seems LL has been including sale tax, which is illegal where I live. Sales taxes must be itemized, not included.  For me not that big a deal (60 bucks a year) but clearly there may be a lot of VPN usage by group owners.  So this is really a raise in prices, my tier should have been lowered.  Virtual life goes on...

LL has not been including sales tax before.  They have simply charged everyone for Premium and Tier and whatever sales tax might have been due, they have been paying the applicable states themselves.

  • Like 3
Link to comment
Share on other sites
Kathlen Onyx

Kathlen Onyx

Posted
Posted
5 hours ago, Drake1 Nightfire said:

Well, yes... It depends on where you log in. My state doesn't charge tax on digital goods. New York does, if I travel to New York and have to pay my land tier while on vacation, I would be charged tax on it. 

Just like if you travel to another state/country, you have to pay their local taxes... 

You're not serious are you?

Link to comment
Share on other sites
Kathlen Onyx

Kathlen Onyx

Posted
Posted (edited)
27 minutes ago, Drake1 Nightfire said:

Dunno, LL didn't really explain it very well. But I do know that if you travel you have to pay taxes based on where you are, not where you live. 

Yes, if you PHYSICALLY purchase something in a store and take it out of the store. <<<--- strike that as it's wrong.   

https://www.salestaxinstitute.com/sales_tax_faqs/where_to_collect_sales_tax

You aren't taking your SL anywhere because it's "digital"

Your land tier is based on having payment info on file. What would they do if you just didn't log on for a month?  

Edited by Sam1 Bellisserian
Link to comment
Share on other sites
LittleMe Jewell

LittleMe Jewell

Posted
  • Author
Posted
23 minutes ago, Drake1 Nightfire said:

Dunno, LL didn't really explain it very well. But I do know that if you travel you have to pay taxes based on where you are, not where you live. 

Taxes for my subscriptions to other online services are always based on my home billing address, regardless of where I use the service.  I'm assuming the LL will do it the same way.

  • Like 2
Link to comment
Share on other sites
Rolig Loon

Rolig Loon

Posted
Posted (edited)
1 hour ago, LittleMe Jewell said:

Taxes for my subscriptions to other online services are always based on my home billing address, regardless of where I use the service.  I'm assuming the LL will do it the same way.

Okay ... I'm a test case. I am out of state for a few days, so just to see what would happen I went ahead and bought some L$.  I was charged for the transaction plus 7.375%, which is the rate I would be paying if I had bought them from home (that is, my combined state + local sales tax rate). The transaction was charged to my credit card which, of course, is tied to my home address.

EDIT: Oops. Forget I said anything. That wasn't sales tax.  It was the transaction fee. Dumb dumb, dumb. 

Edited by Rolig Loon
Link to comment
Share on other sites
Solar Legion

Solar Legion

Posted
Posted
2 minutes ago, Rolig Loon said:

Okay ... I'm a test case. I am out of state for a few days, so just to see what would happen I went ahead and bought some L$.  I was charged for the transaction plus 7.375%, which is the rate I would be paying if I had bought them from home (that is, my combined state + local sales tax rate). The transaction was charged to my credit card which, of course, is tied to my home address.

Which is - of course - how digital transactions are made in most circumstances.

  • Like 1
Link to comment
Share on other sites
Rowan Amore

Rowan Amore

Posted
Posted
4 minutes ago, Rolig Loon said:

Okay ... I'm a test case. I am out of state for a few days, so just to see what would happen I went ahead and bought some L$.  I was charged for the transaction plus 7.375%, which is the rate I would be paying if I had bought them from home (that is, my combined state + local sales tax rate). The transaction was charged to my credit card which, of course, is tied to my home address.

I thought they weren't adding sales tax to Linden purchases and just premium subscription and land use fees.  

  • Thanks 1
Link to comment
Share on other sites
LittleMe Jewell

LittleMe Jewell

Posted
  • Author
Posted (edited)
8 minutes ago, Rolig Loon said:

Okay ... I'm a test case. I am out of state for a few days, so just to see what would happen I went ahead and bought some L$.  I was charged for the transaction plus 7.375%, which is the rate I would be paying if I had bought them from home (that is, my combined state + local sales tax rate). The transaction was charged to my credit card which, of course, is tied to my home address.

For L$ purchases, you should only have to pay their Buy Fee.  They aren't charging sales tax for L$ purchases yet -- only Premium fee and Tier/Region fees.

The 'buy fee' should have been 7.5%, with a minimum charge of $1.49.

Edited by LittleMe Jewell
Link to comment
Share on other sites
Rolig Loon

Rolig Loon

Posted
Posted
22 minutes ago, LittleMe Jewell said:

For L$ purchases, you should only have to pay their Buy Fee.  They aren't charging sales tax for L$ purchases yet -- only Premium fee and Tier/Region fees.

The 'buy fee' should have been 7.5%, with a minimum charge of $1.49.

Oh, wait.  You're right. Sorry about that I  misinterpreted what I was paying for. Forget everything. That IS what I was expecting though. 🙄

  • Like 1
Link to comment
Share on other sites
You are about to reply to a thread that has been inactive for 900 days.

Please take a moment to consider if this thread is worth bumping.

Please sign in to comment

You will be able to leave a comment after signing in



Sign In Now
 Share
Go to topic listing
×
×
  • Create New...