Pennsylvania Software Maintenance Agreement

State:
Multi-State
Control #:
US-13175BG
Format:
Word; 
Rich Text
Instant download

Description

This form is a detailed Software Maintenance Agreement document for use in the computer, internet and/or software industries.
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FAQ

A software maintenance agreement, or SMA, is a legal contract that obligates the software vendor to provide technical support and updates for an existing software product for their customers. It may also extend the expiration date of certain features, such as new releases or upgrades.

The Pennsylvania Department of Revenue ruled that cloud computing software is subject to Pennsylvania sales and use tax when used by people in-state (SUT-12-001).

A service maintenance contract is a legal agreement between a company and a maintenance service provider. It specifies the terms and conditions of the agreement between the two parties.

Maintenance agreements provide routine maintenance, access to emergency repairs, and constant upgrades to software and your system's hardware. More importantly, the agreement make you a priority and allows you to build a relationship with your maintenance provider.

The Pennsylvania Department of Revenue ruled that cloud computing software is subject to Pennsylvania sales and use tax when used by people in-state (SUT-12-001).

In summary, the Pennsylvania Department of Revenue considers both tangible and electronic canned software, such as QuickBooks, Microsoft Office, Adobe Creative Suite, as taxable tangible personal property and thus is taxable. Taxable tangible personal property also includes: streaming & digital downloads.

Yes. The Sales Tax regulation on computer services is found in the PA Code.

But, in most, it's a mixed bag. California exempts most software sales but taxes one type: canned software delivered on tangible personal property an actual object you can touch or hold, such as a disc. Nebraska taxes most software sales with the exception of one type: SaaS.

Does California require sales tax on Downloadable Custom Software? California does not require sales tax on downloadable custom software.

The purchase of custom software maintenance and custom software updates are exempt from tax because these items are considered nontaxable computer services.

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Pennsylvania Software Maintenance Agreement