GoDaddy Taxing for Domain Names

[Haroon Basha]

Today, I tried to buy one closeout domain name for $ 8, beside one year renewal fees ($14.99) and ICANN fee ($0.18), they are charging $ 1.60 extra as Taxes. They have asked me to pay a Total of $ 24.77. I just did not pay yet. I want to know, is Godaddy started collecting Tax for domain purchases? Please share your views. Thank you.

 

[iowadawg]

I see no taxes when registering a new domain.
Maybe it is a country thing?

 

[joethrows]

i've just now paid for another domain at godaddy with no tax collected

 

[frank-germany]

yes they add taxes in some cases

make sure your account is marked as business account and eventually add your VAT Tax ID

you mabe able to get rid of that tax amount if you change currency to $ USD
or your account type at checkout

they do this for any type of domain aquiring

 

[DNScholar]

I guess, maybe for aftermarket domains.
For new registeration no tax collected.

 

[frank-germany]

I guess, maybe for aftermarket domains.
For new registeration no tax collected.

they do this for any type of domain aquiring
as VAT taxes apply or not does have no connection to the type of item you buy

 

[Bram C.]

they do this for any type of domain aquiring
as VAT taxes apply or not does have no connection to the type of item you buy

Actually this is not correct. I'm from Belgium and when I register a new domain at Godaddy I never have to pay taxes on my purchase. On the other hand when I pay for a domain name that I acquired on Godaddy auctions I do have to pay taxes, the system basically wants to charge me 21% tax (If I add a valid TAX ID this tax amount gets nullified).

So for some bizar reason newly registered domains (no tax charged) and domains acquired through the auction house (tax charged if you're outside the US) are handled differently at Godaddy at checkout.

 

[Bram C.]

I guess, maybe for aftermarket domains.
For new registeration no tax collected.

This is correct.

 

[frank-germany]

Actually this is not correct.

sorry too

but in some cases this applies to new domain registrations as well

I have experienced it multiple times

 

[Bram C.]

sorry too

but in some cases this applies to new domain registrations as well

I have experienced it multiple times

Strange...

I have regged over 200 new domains last year and not one time Godaddy wanted to charge me taxes.
I purchased around 45 domains on the Godaddy aftermarket and every single time Godaddy wanted to charge me taxes.
But that's Belgium. Maybe for another country they have different tax rules and charge tax on everything.

 

[Haroon Basha]

For me too they never taxed me, I have more than 200 domain names, they never taxed me, but yesterday they did, I have seen Tax is added to my cart.

 

[frank-germany]

when you see it in your cart
toggle currencies

 

[Haroon Basha]

I did, I usually opt for US $ only, but yesterday I did with Saudi Riyals too, the tax was there.

 

[Bram C.]

For me too they never taxed me, I have more than 200 domain names, they never taxed me, but yesterday they did, I have seen Tax is added to my cart.

If you are charged taxes and you don't have a valid tax ID this is what you can do: At the last page of checkout if you change your country of residence to USA and add some country code from the US (for example 90210) and save this the tax charge will disappear. Use at your own risk

 

[Haroon Basha]

I can't do that, Godaddy has my information. I think there are some issues with Godaddy. I will clarify with my VIP accounts executive on Monday morning.

 

[Bram C.]

I can't do that, Godaddy has my information. I think there are some issues with Godaddy. I will clarify with my VIP accounts executive on Monday morning.

Yes of course you can always ask.
I started domaining in 2009 and as far as I remember back then Godaddy didn't charge me taxes for auctions as well. I think they started to charge taxes on auctions in 2013 or 2014 (for Belgium). Maybe your country was recently added to their list of "taxable" countries as well?
Let me know how it works out for you.

 

[iowadawg]

Godaddy does collect taxes for the great state of Washington.
As they have an office there, the state says collect.
I do not know yet if they do this for other states.

 

[Domainers-Den]

Try to change the currency and check.

 

[youdn]

I always paid taxes.

 

[pablohc86]

same here... in italy godaddy ask for taxes other than domain purchase + reg fee + ican for all the purchase from auctions.
also new regged name have some tax