I just saw an interesting article -
Tax Spikes on Cell Plans; e-Books Next
http://finance.yahoo.com/banking-bud...lphones-ebooks
This says you could be charged tax by multiple states and municipalities - I wouldn't think they would be allowed to charge you tax from two different states.
Quote:
e-Books
Taxes on e-book downloads to an e-reader, like the iPad, Kindle or Nook, could add up to 21% of the total price, assuming multiple states apply taxes to the same transaction, according to MyWireless.org, a nonprofit consumer advocacy group.
Roughly 9 million e-reader users download books. (On average, that's three e-books a month at an average of $9 per book, according to Marketing and Research Resources and CEA, respectively.) These consumers are increasingly at risk of being taxed on those purchases by their home state and by the state where the book is published, says a CTIA spokeswoman.
The number of times a consumer is taxed could be even higher. For example, a county may decide to impose its own tax on downloadable e-commerce products. These taxes typically pop up at checkout. These additional taxes could make buying an e-book much more costly than buying a hard copy of the book at a local retail store, where only the sales taxes would apply.
|