One of the things my business will be involved in when I start it up is
selling digital goods online. I tried to look it up but I haven't found
anything on the subject (only on selling and shipping goods). Are there any
laws, licenses, restrictions, or anything to do with selling digital goods to
people who live outside of your state or country?
MarkAcantilado | Window Shopper |
9/5/2012 - 7:08 am
Yes there is - and that includes taxes in imported goods from other countries
to another country. You may need a lot of licensing requirements and business
permits for you to offer that kind of business.
AgentCampus.com is one of the leading online real estate school in the US,
with several courses approved by ARELLO and are recognized by US state
department of licensing.
creativemediaweb | Window Shopper |
7/10/2012 - 2:48 am
I have an online business that sells both digital and tangible goods. There
are definitely some pros and cons to selling digital products. Most online
businesses do not charge sales tax up front but rather tack it on to the
digital good price. You will be taxed for all the income you make for selling
digital products.
You will need to determine this from the start. The downside about selling
this type of product is chargebacks. Once an item has been downloaded,
customer can go back to their bank or paypal and dispute the charge. If they
rule in favor of the buyer (which 90% of the time they do), they have the
product and the money is refunded. This has been a big challenge for me
personally. So make sure you do your homework on credit card merchants. There
are many decisions you will need to make and that includes how your website
will be setup to sell the goods.
That in itself will open up many decisions to you. Good luck.
There are restrictions to some countries. If you have any cryptography in
your digital apps/services, you also need to check the list of friendly
countries.
MarkAcantilado | Window Shopper | 9/5/2012 - 7:08 am
to another country. You may need a lot of licensing requirements and business
permits for you to offer that kind of business.
powerstart | Window Shopper | 9/4/2012 - 8:43 pm
BizResearcher | Window Shopper | 8/21/2012 - 1:19 pm
international business division that can assist with exporting regulations.
Joe Lamoureux | Window Shopper | 8/20/2012 - 8:04 am
creativemediaweb | Window Shopper | 7/10/2012 - 2:48 am
are definitely some pros and cons to selling digital products. Most online
businesses do not charge sales tax up front but rather tack it on to the
digital good price. You will be taxed for all the income you make for selling
digital products.
You will need to determine this from the start. The downside about selling
this type of product is chargebacks. Once an item has been downloaded,
customer can go back to their bank or paypal and dispute the charge. If they
rule in favor of the buyer (which 90% of the time they do), they have the
product and the money is refunded. This has been a big challenge for me
personally. So make sure you do your homework on credit card merchants. There
are many decisions you will need to make and that includes how your website
will be setup to sell the goods.
That in itself will open up many decisions to you. Good luck.
kburger | Community Moderator | 6/25/2012 - 12:37 pm
clevertim | Window Shopper | 6/23/2012 - 2:59 pm
your digital apps/services, you also need to check the list of friendly
countries.
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