Summer 2024 sales tax billing changes - what you need to know
As part of continued updates to our product and billing systems, and to comply with local tax regulations, Typeform is now registered to collect sales tax in the following countries/states:
- Kentucky State (US)
- Liechtenstein
- New Zealand
- Switzerland
This means that you may see additional charges on your Typeform invoices from July 2024 onwards if your billing address is located in one of these regions. The exact amount depends on your area’s tax regulations for digital services.
If your billing address isn't in one of the regions listed above, see where else we collect taxes on Typeform purchases.
Keep reading for more details.
What is Sales tax?
Sales tax is a levy imposed by a governing body on the final sale of a product or service. It's collected by the seller (in this case Typeform) from the consumer (in this case the Typeform account holder) at the point of purchase.
In Liechtenstein and Switzerland, sales tax is collected as Value Added Tax (VAT).
In New Zealand, sales tax is collected under the Goods and Services Tax (GST) system.
Why is Typeform applying sales tax to my invoices?
Typeform is collecting sales tax as part of our legal obligation to comply with all applicable tax regulations in the areas where we do business.
Since tax law varies between and within countries, this change won’t affect all Typeform users equally, or at the same time. We recommend checking with your local tax authorities to confirm tax regulations for digital services.
The following documentation might be a good starting point:
- Kentucky Department of Revenue documentation
- Liechtenstein government documentation
- New Zealand government documentation
- Swiss government documentation
How will this change affect me?
To comply with local tax laws, Typeform is now required to collect sales tax if your billing address is in one of the following countries/states:
- Kentucky State (US)
- Liechtenstein
- New Zealand
- Switzerland
For GST-registered businesses in New Zealand, adding a GST number allows you to zero-rate your invoice. This activates the reverse charge mechanism, excluding GST/VAT from your invoices. However, please note that you are responsible for accounting for the GST/VAT on your purchases from Typeform when filing your tax returns.
Note: You must provide your GST number before making the payment. It can’t be applied retroactively to an invoice that’s already been paid.
Check out these instructions on how to add or update your tax number.
If you need to double-check that your billing details are up to date, here’s how to do that.
Take a look at this page to see where else sales tax is applicable on Typeform purchases.
When will I see sales tax charges on my invoices?
These changes will come into effect from July 2024. Once in effect (and if applicable to you), you’ll see the charge on all subsequent invoices.
My billing address is not located in one of the regions listed in this article. How does this change affect me?
If your billing address isn't in one of the areas listed in this article, you won’t be affected by this change.
Typeform will reach out regarding any future billing changes that may affect your invoices.
If you have any questions or concerns about these upcoming changes, please feel free to reach out to our Support team for further information by clicking the Contact Support button at the bottom of this page. If you're on an Enterprise plan, you can reach out to your CSM directly.