SaaS providers and digital entrepreneurs, take note: The tax landscape for digital goods is shifting in Vermont.
Despite the rise of digital goods, about half of all states still don't tax digital products. But don't sleep on tax changes that can sneak up on you. If you sell SaaS, your sales tax liability is changing in the state of Vermont, where cloud software has become subject to 6% sales and use tax as of July 1.
Software in Vermont is now classified as tangible personal property regardless of whether it is hosted by the customer or accessed remotely. Vermont's economic nexus thresholds remain unchanged. Both annual sales and transaction thresholds apply.
Stay ahead of changes! Our tax experts can help you ensure your business remains compliant. Contact us today to learn how these new regulations affect your SaaS or digital products business. We are your prescription for sales tax compliance.