Paying tax for an app?

[mikesmith]

I was thinking about downloading Leo's Fortune cause it's on sale for .99¢ but when I went to check out it said the price was $1.08. It said there was a .09¢ tax. What kind of tax is it? Do other apps charge tax? Who is charging the tax? Is it Google? Or where the developer lives?

I've never seen an app taxed before. And who came up with charging an almost 10% tax?

I think it's a little ridiculous to charge tax on an app.

 

[VDub2174]

Sales tax would depend on the State and how their tax laws work.

 

[dancing-bass]

Sales tax would depend on the State and how their tax laws work.

THIS!

If the item being bought would be taxed if bought from a physical store would be taxed, Google Play also has to honor those taxes. In this case, if you walked into an actual store and bought a $0.99 program (game, OS patch, whatever) you'd have to pay the appropriate taxes to the government. This is no less true of purchasing software online.

 

[mikesmith]

I understand. Thanks.

 

[Karthickandroidgames]

If you are downloading from google play store or itunes you are not liable to pay any tax. Only the developer is liable for taxes like service tax and VAT and that too in some countries only.

 

[KusamY Games]

Google include the tax in the price

 

[Naxow]

You only pay the 0.99
Like said above, the tax and administrative costs are included in that price and cut from what the developer receives.