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  1. #1
    Join Date
    Jan 2015
    Location
    Orlando, FL
    Posts
    127

    Question Sales Tax in Florida?

    Hey guys,

    This forum has provided me with a lot of information about this topic already, I just need some clarification on something. In the state of Florida, web hosting is considered "Information Services", and from what I've read, is not subject to sales tax, but does this include domain names, SSL certificates, WHOIS protection, etc... or does the term "web-hosting" in Florida's tax documents generalize the industry and consider all of these general services/products exempt from sales tax?

    Regards,
    Ryan
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  2. #2
    Join Date
    May 2009
    Location
    United Kingdom
    Posts
    1,695
    Hello Ryan,

    This is a interesting question, I've never heard of web hosting not being subject to sales tax but then again I know that different states of America have very different tax rules.

    Hopefully someone from the forum who has a business in Florida will be able to confirm, it would be a significant advantage for you if you are exempt from sales tax but I would be surprised if this was the case.

    Jack
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  3. #3
    Join Date
    Jan 2015
    Location
    Orlando, FL
    Posts
    127
    Quote Originally Posted by zomex View Post
    Hello Ryan,

    This is a interesting question, I've never heard of web hosting not being subject to sales tax but then again I know that different states of America have very different tax rules.

    Hopefully someone from the forum who has a business in Florida will be able to confirm, it would be a significant advantage for you if you are exempt from sales tax but I would be surprised if this was the case.

    Jack
    Thank you, I'm getting these conclusions from here. I'm specifically looking at the Information Services document listed which defines "web-hosting" as an information tax. Then, on the E Cloud Services document, and that document concludes that cloud services and storage services lie under the "Information Services" category and are not subject to sales tax.

    I'm really only asking because professional services are not subject to tax in the state of Florida, but I am unsure of the products listed on my initial post qualify as professional services considering that they aren't necessarily tangible goods.

    Anyways, thank you for your help.

    Regards
    Ecobyte is an emerging web hosting company dedicated to making the world just a little bit greener. 🍃
    Byte Grid Shared Hosting | Byte Compute VPS | Byte Box Enterprise Solutions
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  4. #4
    I THINK you can get away with products like that in Florida but I wouldn't swear 100% to it.

    I would strongly consider consulting a tax pro though. Or maybe a business lawyer. Or even one of those pay-per-question type sites like rocket lawyer and find out. It'd be worth knowing in the long run.

  5. #5
    Join Date
    Jan 2015
    Location
    Orlando, FL
    Posts
    127
    Update:

    I spoke with the company that's assisting me w/ filing my business docs. She said that Florida has a very broad tax rule on web hosting products and services -- electronically delivered goods are not subject to the sales and use tax in Florida. There's also no legit web hosting category to sign up with when you try and register with the FL Dept. of Revenue to pay taxes, so they're suggesting that the web hosting services and products I'm offering (server space, domains, SSLs, IPs, etc...) are not subject to tax, but they did emphasize that they're not a legal service and cannot provide legitimate legal advice therefore I'm probably going to find a lawyer I can consult with. Maybe I'll ask LegalZoom.
    Ecobyte is an emerging web hosting company dedicated to making the world just a little bit greener. 🍃
    Byte Grid Shared Hosting | Byte Compute VPS | Byte Box Enterprise Solutions
    Follow Us on Twitter: @ecobyte_io | ecobyte.io

  6. #6
    Your best bet is to ask a lawyer and/or CPA. Let us know.

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