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Playstation Network purchases to be taxed starting April 1st 2017

jjonez18

Member
None of this goes to PSN though right? It's a state tax? Meaning it goes to the betterment of your state? Aka state imposed?

Amazon just started taxing too. iirc. What's going on? Just the states getting in on that digital revenue?

I just got an email about it too. Here in Alabama.
 

graywolf323

Member
what state are you in OP? Your email specifies in your state

this clearly isn't nationwide but people are freaking out due to the lack of information

edit: just saw your post saying NJ
 

molnizzle

Member
This is a state thing, not a PSN thing.

Texas has done this for years. Welcome to the shit club.

Random unrelated fact: North Dakota is the only state with a law on the books forbidding the charging of sales tax for digital goods. Just letting you know in case you move there, make sure to update your address on PSN.
 

Wallach

Member
None of this goes to PSN though right? It's a state tax? Meaning it goes to the betterment of your state? Aka state imposed?

Amazon just started taxing too. iirc. What's going on?

The government is starting to collect tax on goods purchased online is all. It took a while to reach digital services but they're still products being rendered to you. So if you live in a state with a sales tax it's going to start applying here.
 

Fbh

Member
Nooooooooooooo... As a non American, tax free purchases is what makes PSN so cool.

What state is this for and what state had the lowest taxes ? (My address is currently in Miami)
 

Femto.

Member
I'll just do what I did with my Nintendo 3DS and change my location to a place without sales tax. I only use PSN cards on their store anyway. Although I don't know how it would work with Vue, Now, and Music

Using PSN cards won't matter if it's anything how XB Live handles taxing.
 

Piggus

Member
Nooooooooooooo... As a non American, tax free purchases is what makes PSN so cool.

What state is this for and what state had the lowest taxes ? (My address is currently in Miami)

Delaware, Montana, Oregon, and New Hampshire have no sales tax.

Florida sales tax is 6%.
 
I don't live in US but I buy my digital stuff from NA PSN, so I don't know how these things work in the states.

If I add $60 worth of PSN credits through PSN cards to my wallet, can I still buy $60 games or does this increase the price for those games in the check out process and I have to pay more?
 

Thorrgal

Member
Damn, I chose Kansas as the state of my american account because I lived there fora year...how are the taxes over there? I guess I could change the address to another state as if I moved, right?
 

molnizzle

Member
I don't live in US but I buy my digital stuff from NA PSN, so I don't know how these things work in the states.

If I add $60 worth of PSN credits through PSN cards to my wallet, can I still buy $60 games or does this increase the price for those games in the check out process and I have to pay more?

Depends on the address you have on file. If it's a state that charges sales tax on digital goods, you'll be charged sales tax.

That's not the case in the US and Canada

Yes it is.
 

Lexxism

Member
I don't live in US but I buy my digital stuff from NA PSN, so I don't know how these things work in the states.

If I add $60 worth of PSN credits through PSN cards to my wallet, can I still buy $60 games or does this increase the price for those games in the check out process and I have to pay more?
That will depend on what State you put on your account. Like $60 + 8% tax (NY) = 64.8 total instead of the usual $60

Of course, if taxes is really coming.
 

Allforce

Member
I got charged tax on a purchase of Marvel Vs Capcom 3 a few weeks ago on PSN and thought it was weird. Slightly pissed me off because they've never charged tax before and that forced me to actually add my PayPal to my account since I didn't feel like buying another 10 dollar card to cover the new total.

But then a week later I got an email saying "We're sorry we charged you tax, we've credited your wallet!" and gave me back the 1.40 or something. I'm in Ohio for what it's worth, never been taxed on PSN but XBox Live charges me tax on games (which is why I barely buy anything on their service anymore since I won't give them my CC)
 

yyr

Member
Doesn't Xbox charge tax on digital purchases already?

Yes. It came with the transition from MS Points to actual currency.

Wouldn't bother me at all if Sony got rid of their 5 dollar minimums.....

That is to save Sony money on credit card fees, so that more of it goes to them/the developers/the publishers. It's for the same reason that some businesses set credit card minimums.

Every time you pay by card, a small portion (usually a flat fee PLUS a percentage of the amount paid) goes to the issuing bank and credit card company. Usually this represents a tiny percentage of the transaction, like 1% or 2% (aka "the cost of doing business"). But because of the flat fee, if you charge something really small, like $1 or $2, the percentage jumps significantly and the profit margin is greatly affected.

This hurts small businesses the most because they don't have the volume to make up the difference. So think about that before you charge a $2 coffee from a local vendor. The banks don't need the money as much as your local business does.
 

Allforce

Member
got an email, here in ohio.

will change state to oregon like i do in amazon when i purchase digitally.

Wait you just change your address to Oregon to buy digital goods on Amazon? I'm in Ohio too and I didn't know they charged tax on digital games.

I could give a fuck about my address on file with PSN, might do this as well then. I hate using a CC/Paypal on any of these services and prefer to just buy the cards (from Amazon with my Amazon Visa so I get 5% cash back too!)
 
Just out of curiosity, if you use a PSN pre-paid card, do you get taxed on the card purchase, and/or do you get taxed on purchases using the gift card? I recently bought something with PSN credit and I did not pay tax. I live in South Carolina.
 

N.Domixis

Banned
All going towards improving PSN services, right?

.... right?

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Had no idea some (most?) people didn't pay tax on PSN purchases. It's been a thing for me for as long as I can remember (Utah).
 
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