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Originally Posted by murg
Delaware has no sales tax.
That's why on the Delaware side of the Delaware/Pennsylvania border there are miles of shops. And absolutely nothing on the Pennsylvania side.
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It's the same for New Hampshire. No sales tax and that's why Nashua, NH has the big mall and all the shops up on Daniel Webster Highway just over the MA border.
The way to avoid the EU tax mess is to register with an address in Delaware or New Hampshire and then the site won't be trying to collect tax on digital goods. Bur I really don't see all the EU sites that can sell digital goods to the US changing the system to know the tax rate of every state in the US.
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Country where customer belongs (has their main business or fixed premises, their permanent address or usually lives).
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So it sounds like the EU will be trying to collect tax based on the registered address. But isn't that wrong? What if I am sitting in New Hampshire and buying digital goods from the EU? I should not be paying sales tax.
I used to know someone who lived in NH and her IP showed that she was in Boston. So if they go based on IP, they can get the tax incorrect and then that's another issue.