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Knowledge Base

VAT Rates

As sales tax obligations expand into the digital product market, businesses with sales across the U.S. must comply with specific requirements. We are legally obligated to collect sales tax on taxable products and services customers purchase, depending on their location. The sales tax collected must then be remitted to the appropriate Department of Revenue.

Guide to Sales Tax Compliance

To ensure we remain compliant, we are collecting sales tax on purchases made by customers whose Account Holder address is located in the listed below:

A-M N-S T-Z
Arizona New Mexico Texas
Connecticut New York Tennessee
Hawaii Ohio Utah
Illinois (Chicago**) Pennsylvania Vermont
Iowa Rhode Island Washington
Kentucky88 South Carolina Washington DC
Maryland South Dakota West Virginia
Massachusetts    

Note: For further clarification regarding which products are taxed in Chicago or Kentucky or for information about zip codes that may be subject to different rates, please refer to our Frequently Asked Questions (FAQ) section.

Tax Rates

Here is a list of tax rates that are applied.

Tax Type
Country
Tax Rate

European Union (EU)

VAT

Austria

AT

20%

VAT

Belgium

BE

21%

VAT

Bulgaria

BG

20%

VAT

Cyprus

CY

19%

VAT

Czech Republic

CZ

21%

VAT

Germany

DE

19%

VAT

Denmark

DK

25%

VAT

Estonia

EE

20%

VAT

Spain

ES

21%

VAT

Finland

FI

24%

VAT

France

FR

20%

VAT

United Kingdom

GB

20%

VAT

Greece

GR

24%

VAT

Hungary

HU

27%

VAT

Ireland

IE

23%

VAT

Italy

IT

22%

VAT

Lithuania

LT

21%

VAT

Luxembourg

LU

17%

VAT

Latvia

LV

21%

VAT

Malta

MT

18%

VAT

Netherlands

NL

21%

VAT

Poland

PL

23%

VAT

Portugal

PT

23%

VAT

Romania

RO

20%

VAT

Sweden

SE

25%

VAT

Slovenia

SI

22%

VAT

Slovakia

SK

20%

All Others

VAT

Australia1

AU

10%

VAT

India

IN

18%

VAT

Japan2

JP

10%

VAT

New Zealand1

NZ

15%

VAT

Norway1

NO

25%

VAT

Russia2

RU

20%

VAT

Switzerland1

CH

7.77%

VAT

Taiwan2

TW

5%

Notes:
1 This tax began being included on invoices starting 03/29/2018.​

2 This tax began being included on invoices starting 09/06/2018.

Frequently Asked Questions (FAQ)

As sales tax rules evolve, only specific products and services are subject to tax. For bundled products, a separate line item will be listed for each taxed item.

Products affected may include the following:

Call Center Domain Premium Internet Marketing Other Domain Services VOL/Gorilla
Call Tracking Service Domain Redemption Fees Leads by Web Parking Revenue Web Lock Revenue
Certified Offer Services/Brokerage Domain Registration Legacy Leads Com PPC Website Essentials
Customer Design Professional Services Ecommerce Platform Licensed S/W Delivered ED Private Registration Website Forwarding
Custom Design Subscriptions Ecommerce Store Development Subscriptions Logos Security Services  
DIY Websites Ecommerce Store Development Professional Services Marketing Ads SEO Subscriptions  
DIY Ecommerce Email Microsoft 365 SEO Full Services  
Domain Application Fee Email Marketing Mobile Websites Services  
Domain Auction Facebook Other DIFM  Smart Calls      
Domain Expiration Protection Google/Bing Places Other DIY  Software as Service      
Note: The taxability of each product/service listed above differs depending on the specific tax rules that apply to each country.

Following the Supreme Court's South Dakota. Wayfair's decision in June 2018 required all with sales tax to require remote sellers now to collect sales tax. Additionally, tax jurisdictions continuously update taxable products and services.

Sales tax laws are set by, and some now tax specific digital products and services. As the law requires, we must add these taxes to your bill and remit them to the Department of Revenue.

We can process your refund once domain.com receives a valid tax exemption certificate. Our finance department will handle it with a turnaround time of 5-7 business days.

See the table below.

60601 60616 60632 60649
60602 60617 60633 60651
60603 60618 60634 60652
60604 60619 60636 60653
60605 60620 60637 60654
60606 60621 60638 60655
60607 60622 60639 60656
60608 60623 60640 60657
60609 60624 60641 60659
60610 60625 60642 60660
60611 60626 60643 60661
60612 60628 60644 60666
60613 60629 60645 60707
60614 60630 60646 60827
60615 60631 60647  

Email & Productivity eCommerce, Hosting, & Websites Other Products & Services
  • Email
  • Email Marketing
  • Microsoft 365
  • Custom Hosting
  • DIY (Do It Yourself) eCommerce
  • DIY Websites and Other DIY
  • eCommerce Platform
  • eCommerce Store Development Subscriptions
  • Hosting
  • Mobile Websites
  • Website Essentials
  • Logos
  • SEO Subscriptions
  • Software as a Service

Email & Productivity eCommerce, Hosting, & Websites Other Products & Services
  • Email
  • Email Marketing
  • Google Workspace
  • Microsoft 365
  • Custom Hosting
  • DIFM (Do It For Me) Websites and Other DIFM
  • DIY (Do It Yourself) eCommerce
  • DIY Websites and Other DIY
  • eCommerce Platform
  • eCommerce Store
  • Hosting
  • Mobile Websites
  • Website Essentials
  • Custom Design Professional Services
  • Custom Design Subscriptions
  • Development Subscription
  • Licensed Software
  • Logos
  • SEO Subscriptions
  • Software as a Service

Understanding sales tax compliance is crucial for businesses with a national presence, mainly as more sales taxes are imposed on digital products and services. Companies can stay compliant and avoid penalties by knowing what sales tax collection requires. Whether you are selling physical goods, digital products, or services, it is important to track the sales tax requirements in each to ensure accurate remittance and avoid any issues with the Department of Revenue; stay informed about the rules in each to safeguard your business and maintain compliance.

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