Home Payment methodsWhat taxes apply to my purchase?

Find your question in the Help Center

What taxes apply to my purchase?

If you are buying a product sold through Hotmart, it’s important to understand what taxes may apply to your purchase.

Argentina

According to the new list from the AFIP (Federal Revenue Argentina), as of December 1, 2021, purchases made from households in Argentina on foreign sites may have the following taxes added:

  • 8% Impuesto PAIS (Impuesto para una Argentina Inclusiva y Solidaria);
  • 21% IVA (Impuesto al Valor Agregado);
  • 45% Impuesto a las Ganancias;
  • Impuesto sobre los Ingresos Brutos (IIBB), the value of which can vary depending on province. Check out the value to be applied in your province.


Important: the price you see on a product's payment page does not include tax. You will see this amount on your card statement and, in the event of a refund, only the value of the product will be refunded - with the tax amount withheld by the government.

 

Australia

Purchases made from Australian households by individuals on foreign websites will include a 10% tax. Purchases made by companies, when informed of a valid Australian business number (ABN) and with active registration of GST, are exempt from the tax.

The price you see on a product's payment page already includes tax.

What is GST (Goods and Services Tax)?

GST is a federal tax in Australia and it must be collected without exception of product format, segment, payment method, currency, etc., whenever the purchase is made by a person who is located in the country. The location is determined automatically by the payment page, as well as the tax calculation.

 

Canada (Quebec)

Following local tax laws, as of May 2021, Hotmart began to collect the QST tax (Québec Sales Tax) on sales made to buyers in Quebec, Canada.

The tax will be collected on all sales made to individuals with a rate of 9.975%. For purchases made by companies, it will be possible to insert a valid QST number and be exempt by the reverse charge mechanism.

The QST is a tax in the province of Quebec and must be collected without exception of product format, segment, payment method, currency, etc., whenever the purchase is made by a person who is located in this province. The determination of the location is done automatically by the payment page, as well as the calculation of the tax.

 

Canada (Saskatchewan)

To comply with Canadian tax laws, Hotmart will begin collecting a tax called PST (Provincial Sales Taxes) in Saskatchewan. PST is a sales tax added to sales made in provinces where it is in force.

 

In Saskatchewan, PST is a 6% local sales tax for individuals that applies to taxable goods and services consumed or used within the province of Saskatchewan. For purchases made by companies, buyers can enter a PST ID, which is a 7-digit numerical document (PST-SK number) that, after being validated, will exempt them from paying the tax. 

 

Subscription plans and other recurring payments contracted by people residing in Saskatchewan prior to the start of tax collection will also be taxed.

  • From the start date of PST collection, recurring charges will have, in addition to federal tax, the addition of 6% deducted from the value of the product. 

Chile

Following local tax laws, as of July 19, 2021, Hotmart started to collect the Chilean federal tax  IVA (Value Added Tax) on sales made to purchasers in Chile.

Purchases made from Chilean households by individuals on foreign sites will be taxed at 19%. Purchases made by companies, when a valid RUT is provided, are exempt from the tax.

IVA is a Chilean federal tax and must be collected without exception of product format, segment, method of payment, currency, etc., whenever the purchase is made by a person who is located in the country. The location determination is done automatically on the payment page, as is the tax calculation.

The price you see on a product's payment page already includes taxes.

 

European Union

Taxes apply to purchases made in the EU from other countries. The amount may vary in each country, as each country sets its own rates. We consider the standard rate for each country. You can find more information here.

The price that appears on the payment page of a product includes taxes.

 

Mexico

Purchases made in Mexico from other countries will have a 16% tax, according to the Impuesto al Valor Agregado law (VAT), which was implemented on June 1, 2020.

The price that appears on the payment page of a product includes taxes.

 

New Zealand

Following local tax laws, as of May 2022, Hotmart has begun to collect GST (Goods and Services Tax) on sales made to buyers in New Zealand.

The tax will be collected on all sales made to individuals at a 15% rate. For purchases made by companies, it will be possible to insert a IRD number (local tax identification number) are eligible for reverse-charge and Hotmart will not apply tax to them.

 

United Kingdom

Purchases made in England, Scotland, Wales, and Northern Ireland from other countries will be subject to a 20% tax. The price that appears on the payment page of a product includes taxes.

Questions? Talk to our Customer Support team.

 

United States

Known as “marketplace facilitator rules,” U.S. laws around sales tax have been evolving rapidly over the last few years. Among other changes, these laws generally require platforms like Hotmart (rather than creators using the platform) to collect and remit sales tax to government authorities. These laws are complex and vary from state to state.

Hotmart works hard to apply the required changes and to make sales tax as easy as possible for our creators.

Following local tax laws, Hotmart currently collects sales taxes in the following States: Arizona, Colorado, Connecticut, District of Columbia (D.C.), Maryland, Minnesota, New Jersey, North Carolina, Ohio, Pennsylvania, Rhode Island, Texas, Washington, and Wisconsin.

How will this tax collection work?

It depends on where your buyers are located.

U.S. sales tax is applied at the state level, and states have different tax rates and laws about which products and services are considered taxable in the state. Whenever a buyer purchases a product in the abovementioned states, they may pay the respective taxes on the purchase amount.

This means that whether sales tax will be applied to the buyer’s purchase will depend on the buyer’s location and the product which is being purchased. The same is true for the tax rate that will apply.

 

 

 

 

Do you need to talk to us?

If you have any further questions, please contact us and we'll get back to you as soon as possible