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> Is there a reason to choose LemonSqueezy over Stripe if you are located in the US? There hasn't been a single VAT-compliance case to my knowledge and the need for MoR is unclear.

It's not just the EU that charges VAT (or VAT-like taxes).

Most countries (and in the US's case, subregions within) charge some form of sales tax that's a pain to manage yourself if you're not a huge operation.

Always good to comply with tax laws (if not for the obviously good moral/ethical reasons, then definitely for legal reasons!)



In addition to the overall benefits of not having non-compete agreements, California's software startup ecosystem also benefits from not having to deal with charging sales tax when selling SaaS[1][2]

[1] https://www.taxjar.com/blog/saas-california-sales-tax [2] https://www.cdtfa.ca.gov/lawguides/vol1/sutr/1502.html


If they are selling SaaS to an entity in California. Which is the same for anyone selling SaaS to an entity in California, regardless of where the seller is located. I do not see why this would give California a competitive advantage in where a business's employees are located.


US states have a minimum threshold of $100,000 and upwards so you can be compliant without having to worry about it until you start making larger revenue. Most startups never reach these generous thresholds in the first place.


As I understand it the threshold is usually $100,000 in revenue or 200 transactions (following the Wayfair decision), the latter of which is easily reached...




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