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 | Microsoft 365 | SEO Full Services | ||||
| Domain Application Fee | Email Marketing | Mobile Websites | Services | |||
| Domain Auction | Other DIFM | Smart Calls | ||||
| Domain Expiration Protection | Google/Bing Places | Other DIY | Software as Service |
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 & Productivity | eCommerce, Hosting, & Websites | Other Products & Services |
|---|---|---|
|
|
|
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.