Does Xbox Store charge Tax if you use gift cards?

#1destiny1990Posted 8/20/2014 12:01:25 PM
If I use $50 gift card on Xbox store, will i still be charged Tax?

Also, if I enter my address for on of the tax-exempt states (like oregon or florida) will i be able to avoid taxes on digital purchases using gift cards?
#2destiny1990(Topic Creator)Posted 8/20/2014 12:31:36 PM
bump
#3duericPosted 8/20/2014 12:34:34 PM
There are no taxes on digital purchases on Xbone. At least not in the US.

Just an FYI, if there were and you tried to circumvent them by using a false address, it wouldn't be worth the potential consequences to save a few bucks here or there.
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#4destiny1990(Topic Creator)Posted 8/20/2014 12:37:15 PM
dueric posted...
There are no taxes on digital purchases on Xbone. At least not in the US.

Just an FYI, if there were and you tried to circumvent them by using a false address, it wouldn't be worth the potential consequences to save a few bucks here or there.


i chatted with MS rep on xbox.com and he said there is tax on digital purchases whether using cc or gift card

but searching internet people saying no tax so not sure which to believe
#5duericPosted 8/20/2014 12:38:46 PM
destiny1990 posted...
dueric posted...
There are no taxes on digital purchases on Xbone. At least not in the US.

Just an FYI, if there were and you tried to circumvent them by using a false address, it wouldn't be worth the potential consequences to save a few bucks here or there.


i chatted with MS rep on xbox.com and he said there is tax on digital purchases whether using cc or gift card

but searching internet people saying no tax so not sure which to believe


There's taxes on the cards themselves. Maybe that's what the rep meant.

Either way, don't use a false address.
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"It's like people using the internet have never heard of the internet." - SadHillShowdown Gamefaqs member
#6scoobydoobydontPosted 8/20/2014 12:54:20 PM
dueric posted...
There are no taxes on digital purchases on Xbone. At least not in the US.


Not true in NY (aka the only place in the US that matters).
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#7TheOffspringFanPosted 8/20/2014 12:55:35 PM
dueric posted...
destiny1990 posted...
dueric posted...
There are no taxes on digital purchases on Xbone. At least not in the US.

Just an FYI, if there were and you tried to circumvent them by using a false address, it wouldn't be worth the potential consequences to save a few bucks here or there.


i chatted with MS rep on xbox.com and he said there is tax on digital purchases whether using cc or gift card

but searching internet people saying no tax so not sure which to believe


There's taxes on the cards themselves. Maybe that's what the rep meant.

Either way, don't use a false address.


Why? I'm not paying sales tax on digital goods so I used a random address from nh

No one is gonna care about some gamer skirting a few bucks on a downloadable game nor would they really find out
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#8destiny1990(Topic Creator)Posted 8/20/2014 12:55:46 PM
im in ny, best place ever lol
#9duericPosted 8/20/2014 1:00:43 PM
scoobydoobydont posted...
dueric posted...
There are no taxes on digital purchases on Xbone. At least not in the US.


Not true in NY (aka the only place in the US that matters).


So you get taxed on the card then taxed on the digital content? Effectively paying taxes twice on the same purchase?
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"It's like people using the internet have never heard of the internet." - SadHillShowdown Gamefaqs member
#10duericPosted 8/20/2014 1:01:23 PM
TheOffspringFan posted...
dueric posted...
destiny1990 posted...
dueric posted...
There are no taxes on digital purchases on Xbone. At least not in the US.

Just an FYI, if there were and you tried to circumvent them by using a false address, it wouldn't be worth the potential consequences to save a few bucks here or there.


i chatted with MS rep on xbox.com and he said there is tax on digital purchases whether using cc or gift card

but searching internet people saying no tax so not sure which to believe


There's taxes on the cards themselves. Maybe that's what the rep meant.

Either way, don't use a false address.


Why? I'm not paying sales tax on digital goods so I used a random address from nh

No one is gonna care about some gamer skirting a few bucks on a downloadable game nor would they really find out


It's not a crime if you don't get caught. Right?
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"It's like people using the internet have never heard of the internet." - SadHillShowdown Gamefaqs member