Pirat_Nation 🔴(@Pirat_Nation):Gavin Newsom has proposed expanding California’s sales tax rules to include many forms of digital software and SaaS products. If approved by the legislature, the proposal would apply sales tax to cloud-based and digitally delivered software services that have traditionally avoided taxation as non-physical products. It could impact platforms such as Microsoft 365, Salesforce, Adobe, Workday, and other subscription tools. The measure is part of California’s revised 2026–27 budget and is projected to generate billions in long-term state and local revenue. If enacted, the rules would take effect in January 2027 and could influence other states’ taxation of cloud software and digital services.

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2026.05.19 08:03

Gavin Newsom has proposed expanding California’s sales tax rules to include many forms of digital software and SaaS products. If approved by the legislature, the proposal would apply sales tax to cloud-based and digitally delivered software services that have traditionally avoided taxation as non-physical products. It could impact platforms such as Microsoft 365, Salesforce, Adobe, Workday, and other subscription tools. The measure is part of California’s revised 2026–27 budget and is projected to generate billions in long-term state and local revenue. If enacted, the rules would take effect in January 2027 and could influence other states’ taxation of cloud software and digital services.