California lawmakers pass UK and Canada-like software tax that US 'fought' to remove | TheBriefWire
California lawmakers pass UK and Canada-like software tax that US 'fought' to remove
Published 19 June 2026 ยท tech
California is set to implement a new sales tax on digital software downloads, impacting platforms like Slack and Google Workspace starting next year. Governor Newsom
California is set to implement a new sales tax on digital software downloads, impacting platforms like Slack and Google Workspace starting next year. Governor Newsom expects the measure, projected to generate $900 million annually, to primarily affect businesses. This move draws parallels to international digital services taxes, though California's approach expands existing sales tax to digital purchases for fairness, aiming to equalize tax burdens between physical and online software buyers.
Published: June 19, 2026 โข 8:54 PM IST ยท Updated: June 19, 2026 โข 11:02 PM ISTBy TheBriefWire Editorial Team
Key points
California is set to implement a new sales tax on digital software downloads, impacting platforms like Slack and Google Workspace starting next year.
Governor Newsom expects the measure, projected to generate $900 million annually, to primarily affect businesses.
This move draws parallels to international digital services taxes, though California's approach expands existing sales tax to digital purchases for fairness, aiming to equalize tax burdens between physical and online software buyers.