Sales Tax on a Subscription?

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    nocproducts
    Asked on August 17, 2012 at 06:37 PM

    I received a message that my I had currently reached the limits of my free account. I was given a link to upgrade. It took me to a form that lead me to a page on this site https://www.plimus.com run by Interology.  They charged me sales tax - and then later declined my order?!  That happened twice.

    Then, I ordered the premuium upgrade directly on the JotForm site itself when in my account -- not using the link supplied in the body of the email notice I had received and the payment was accepted immediately and no sales tax was charged.

    How come one charges sales tax and the other not?  It is a subscription, not a product, why is the sales tax being charged in any case?

     

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    aytekin
    Answered on August 18, 2012 at 02:59 AM

    We have recently made changes on our subscription payment system. We are now using a different payment gateway. That's the reason for the different experience. 

    Our previous payment gateway was located in California, that's why they had to charge sales tax on your particular payment. 

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    nocproducts
    Answered on August 18, 2012 at 10:12 AM
    But, it is a subscription - not a product. No sales tax is required on memberships or subscriptions?
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    aytekin
    Answered on August 18, 2012 at 04:24 PM

    Unfortunately, our previous payment gateway (Plimus) required it even for subscriptions when the payer is from California. There was no way around it. But, we switched to a new payment gateway. So, it is now fixed.