Super Fun SaaS Sales Tax (Part Deux)

Episode notes

Last week's episode hit a nerve! "The idea that every small software company in the world will be able to be in perfect compliance will every foreign federal, provincial, state, and municipal government that imposes a sales tax is ridiculous. It's an impossible task. (00:11) - Follow up to previous episode (02:32) - Responses we got about sales tax (06:20) - A brief history of sales tax (08:56) - Many vendors aren't collecting sales tax (10:41) - What about Stripe Tax? (12:35) - It's new to North America (16:12) - How it affects subscription based businesses (19:30) - It's not clear who's liable (24:28) - Make it easier and gov't make more money (27:58) - What about Merchants of Record? (30:28) - Where is Stripe going? (35:17) - What are going to do now? (44:45) - Patreon supporters Broadly, there were a few different camps with the responses we received: North American SaaS companies who have been using Stripe: "Yes! Sales tax compliance for SaaS is brutal." European SaaS companies that have had to deal with VAT for a long time (many of whom use a Merchant of Record).