VAT and Sales Tax

Table of Contents

• Tax Jurisdictions and Corresponding ID Numbers
  • Africa
  • Asia and the Pacific
  • Europe
  • North and South America
• US Sales Tax
• Tax Rates
  • Tax Rate Changes

As Merchant of Record, FastSpring is responsible to collect, file, and remit taxes for sales through our platform. We calculate taxes in real time based on customers’ location and the type of product they purchase from you. FastSpring automatically applies these taxes at checkout, as required by local regulations in the customer’s country. 

Tax Jurisdictions and Identification Numbers

FastSpring assesses and collects indirect taxes for each individual product and transaction. This is based on the taxability rules that each jurisdiction issues. Most products will have a 0% VAT rate applied. This may vary depending on the customer’s country. Eligible businesses can avoid these rates with a valid VAT or GST ID. 

To verify a FastSpring Identification Number, contact the Mutual Assistance Office in your local country.

Africa

Asia and the Pacific

Europe

North and South America

United States Sales Tax

FastSpring complies with the rules and regulations in each state. FastSpring is registered and collects sales tax in all 45 US states with sales tax regimes. (This excludes Alaska, Delaware, Montana, New Hampshire, and Oregon. Sales tax is computed using the location of a user, based on information provided or saved during checkout. This is assumed to be the purchaser unless the gift or purchase on behalf of functionality is selected and recipient information requested. Address information, including country and postal code is required to complete and properly tax transactions. FastSpring has elected remote seller methodology to use flat tax rates in all states where allowed.

• Sales & Use Tax Resale Certification (PDF)
• Additional State Exemption Certificates

Tax Rates

Our specialists monitor tax rates in all regions of the world to ensure your tax rates are fully compliant. For more information, see the resources below. 

• US Sales Tax rates
• International VAT and GST rates

Tax Rate Changes

• January 2024: Singapore GST rate increase of 1% to a 9% GST rate, Switzerland VAT rate increase of .4% to a 8.1% VAT rate; Estonia VAT rate increase of 2% to a 22% VAT rate
• October 2023: Japan qualified invoice requirement effective October 1, 2023.
• September 2023: Reverse charge reporting available for Japan JCT on B2B sales, Reverse charge reporting no longer available in Serbia on B2B sales.
• January 2023: Singapore GST rate increase of 1% to an 8% GST rate
• April 2022: Indonesia 1% standard VAT rate increase to 11%
• January 2022: FastSpring starts withholding on qualified transactions and issuing Form 1099-K and 1042-S. See Tax Withholding for more information.
• December 2021: Tax Category Selection Helper launched with 90+ available tax codes.  
• August 2021: VAT collections started in Belarus, Serbia, Mexico, Thailand and Malaysia.
• July 2021: GST / HST tax collections started in Canada in all provinces. 
• June 2021: VAT collections started in British Columbia, Chile, Indonesia. 
• May 2021: Custom tax codes and bulk product uploads launched.
• September 2020: Product tax questionnaire with 35 available tax codes launched. See Product Tax Category for more information.