Some states already broadly tax digital goods and services. Some states only tax a specified list of digital goods like digital books and music, have a lower tax rate on certain digital goods and services, or exclude all digital goods and services from tax may start rethinking their positions in the next year. States have been busy implementing big changes in just the past few years. Some have pursued taxing specific types of digital goods and services to generate new revenue streams while others are looking at bold aggressive changes. Another relatively recent development that states are beginning to explore is the taxation of cryptocurrency and non-fungible tokens (NFTs). New laws and regulations include allowing for commercial cryptocurrency mining operations to apply for an exemption for purchases of electricity. Let’s take a look at recent legislation states have put on the books and delve into new trends and what to watch for in our virtual-driven world.
Source: salestaxinstitute.com
