Earlier this month, we attended a session of the Software & Information Industry Association’s (SIIA) Deciphering Finance series. With the rise of online sales and products, we learned state sales tax is an area organizations can no longer ignore. Everyone will have to ask the question of which they’ve been afraid, “Should we be charging sales tax for our products in this state?”

In the session, they discussed that even the wording of marketing materials, contracts and purchase agreements can affect taxability. For example, licenses may be taxable, while services may not be. In some cases, changing the wording could impact the taxability status. However, before making any modifications, ask your accountant about your obligations in various states