Use of Cloud Services on Hotel Internet Not Taxable in Indiana

When a hotel guest uses cloud services on a server outside Indiana via the hotel Internet, that use is not subject to Indiana sales or use tax.

Sales Tax Guidance on Cloud Services or SaaS

Indiana updated sales tax guidance for hotels, motels and other businesses that sell lodgings to reflect changes in Indiana law regarding the taxability of of SaaS or cloud services.

Information Bulletin #41, Indiana Department of Revenue, October 2018, ¶403-021

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