What taxes can be applied to a purchase?

According to local tax regulations, platforms like Hotmart are not responsible for collecting taxes from consumers and merchants in Argentina. This responsibility falls on credit card operators or Payment Institutions (PIs), which charge taxes directly when processing payments to foreign suppliers.

As of December 23, 2024, the Impuesto País has been eliminated, but some taxes may still apply:

• 21% VAT (Value Added Tax)
• 30% Income Tax (Impuesto a las Ganancias)
• IIBB (Gross Income Tax), which may vary depending on each province. Check here the applicable rates for each province.

Attention! If you are a buyer, it is important to be aware of the information below:

• The price displayed on the product's checkout page and, consequently, on the invoice issued by Hotmart after the purchase is completed, does not include the tax. This is because these taxes are charged directly by the credit card operators, according to the current laws in Argentina. That is, the buyer will be able to check the amount related to the taxes on their credit card statement.
• In case of a refund, only the value of the product will be refunded, with the tax amount being retained by the government.

In accordance with local tax regulations, starting in May 2021, Hotmart began collecting the GST (Goods and Services Tax) on sales made to buyers in Australia.

GST is a federal tax in Australia and must be collected on all purchases made by residents of the country, regardless of the type of product, segment, payment method, or currency used. The buyer's location is automatically determined during the payment process, as is the tax calculation.

The tax is applied to all sales made to individuals at a rate of 10%. For businesses, it is possible to enter a valid ABN (Australian Business Number) with an active GST registration during the payment process to be exempt from this charge.

Attention! If you are a creator, it is important to be aware of the following information:

• From April 1, 2025, with the new business model in place, Hotmart will calculate, collect and remit tax on all non-domestic purchases (i.e. creators based in a country other than Australia and buyers based in Australia). Therefore, it is the creator's responsibility to calculate, collect and remit tax on all domestic purchases (i.e. buyers and creators based in Australia).

In accordance with local tax regulations, starting in May 2021, Hotmart began collecting the QST (Quebec Sales Tax) on sales made to buyers in Quebec, Canada.

QST is a provincial tax in Quebec and must be collected without exception, regardless of the product format, segment, payment method, or currency, whenever the purchase is made by a person located in this province. The location determination is made automatically by the payment page, as is the tax calculation. The price displayed on the product's checkout page already includes the tax.

Purchases made in domiciles in the province of Quebec by individuals will be subject to a 9.975% tax. This rate is in addition to the 5% GST rate that is charged in all provinces of Canada. For purchases made by businesses, if a valid QST number is provided, the tax exemption is applied.

Attention! If you are a creator, it is important to be aware of the following information:

• From April 1, 2025, with the new business model in place, Hotmart will calculate, collect and remit tax on all non-domestic purchases (i.e. creators based in a province other than Quebec and buyers based in Quebec). Therefore, it is the creator's responsibility to calculate, collect and remit tax on all domestic purchases (i.e. buyers and creators based in Quebec).

To comply with the tax laws of the Canadian provinces, Hotmart began collecting a tax called PST (Provincial Sales Taxes) in Saskatchewan.

PST is a local sales tax of 6% that applies to taxable goods and services consumed or used in the province of Saskatchewan. This rate is in addition to the 5% GST rate that is charged in all provinces of Canada.

The location determination is made automatically by the checkout page, as is the tax calculation. The price displayed on the product's checkout page already includes the tax.

Attention! If you are a creator, it is important to be aware of the following information:

• From April 1, 2025, with the new business model in place, Hotmart will calculate, collect and remit tax on all non-domestic purchases (i.e. creators based in a province other than Saskatchewan and buyers based in Saskatchewan). Therefore, it is the creator's responsibility to calculate, collect and remit tax on all domestic purchases (i.e. buyers and creators based in Saskatchewan).

In accordance with local tax regulations, starting in August 2021, Hotmart began collecting the IVA (Impuesto al Valor Agregado) on sales made to buyers in Chile.

IVA is a federal tax in Chile and must be collected without exception, regardless of the product format, segment, payment method, or currency, whenever the purchase is made by a person located in this country. The location determination is made automatically by the payment page, as is the tax calculation.

The tax will be collected on all sales made to individuals at a rate of 19%. For purchases made by businesses, it will be possible to enter a valid RUT (Rol Único Tributario) on the payment page and thus obtain a tax exemption.

Attention! If you are a creator, it is important to be aware of the following information:

• If you declare that your product has an educational purpose, the country may have specific tax rules. It is your responsibility to ensure the accuracy of this information, and Hotmart may request proof of this declaration at any time. To verify if your product falls into this category, check more information by clicking here.
• From April 1, 2025, with the new business model in place, Hotmart will calculate, collect and remit tax on all non-domestic purchases (i.e. creators based in a country other than Chile and buyers based in Chile). Therefore, it is the creator's responsibility to calculate, collect and remit tax on all domestic purchases (i.e. buyers and creators based in Chile).

Purchases made by residents of the European Union on foreign websites are subject to VAT (Value-Added Tax) taxation. The VAT value can vary between countries, as each one defines its own rates. For more information, check the European Union website.

Hotmart applies the standard rate for each country, except for e-books, which, in most cases, are subject to reduced rates. The value that appears on the checkout page for the buyer includes a breakdown of the applied VAT.

For purchases made by businesses, it will be possible to enter an eligible VAT identification number for reverse charge, and Hotmart will not apply taxes to these purchases.

Attention! If you are a creator, it is important to be aware of the tax responsibilities applicable to sales made in the European Union. To learn more, check this article. Also, be aware of the following information:

1. Sale of ESS to EU buyers
   In this case, Hotmart is considered a reseller of the content and issues a self-billing invoice and sales invoices in its own name to represent a deemed resale. As a result, Hotmart will automatically calculate, collect, and remit tax, depending on the student’s location within the European Union.
   Tax and invoicing requirements may also apply in the creator’s country.
   
    
2. Sale of Non-ESS to EU buyers
   In this case, it is the creator’s responsibility to calculate, collect, and remit tax, depending on the student’s location within the European Union. 
   Hotmart will send sales receipts to buyers (instead of sales invoices), identifying creators as the actual sellers of the content. The sales receipt will include a statement clarifying that:

• Sales receipts are not tax invoices.
• Creators, as the actual sellers, are responsible for issuing tax invoices.

To understand how to categorize your product, please check this article.

Following local tax laws, starting in October 2023, Hotmart began collecting GST (Goods and Services Tax) on sales made to buyers in India.

GST is a federal tax in India and must be charged, regardless of the product format, segment, payment method, and currency, whenever the purchase is made by a person located in the country. The location is determined automatically by the payment page, as is the tax calculation.

The tax is charged on all sales made to individuals at a rate of 18%. For purchases made by businesses, it will be possible to enter a valid Indian company number (GSTIN) with an active GST registration on the payment page to be exempt from this charge. 

Attention! If you are a creator, it is important to be aware of the following information:

• From April 1, 2025, with the new business model in place, Hotmart will calculate, collect and remit tax on all non-domestic purchases (i.e. Creators based in a country other than India and buyers based in India). Therefore, it is the creator's responsibility to calculate, collect and remit tax on all domestic purchases (i.e. buyers and creators based in India).

Purchases made by residents of Mexico on foreign websites are subject to a 16% tax, according to the Impuesto al Valor Agregado (IVA) law, in effect since June 2020. 

Under Mexican law, taxes apply as follows:

• All cross-border (international) purchases are subject to a 16% VAT.

• Domestic sales by creators registered as individuals: the VAT applied at checkout (paid by the buyer) will be 16%.

• Domestic sales by creators registered as legal entities: the VAT applied at checkout (paid by the buyer) will be 8% (if the creator has a valid RFC) or 16% (if the creator’s RFC is invalid). In addition, for these domestic sales, the creator (legal entity) will be subject to an ISR withholding of 2.5% (with a valid RFC) or 20% (with an invalid RFC) on their net revenue.

For more information, check out this article.

Also, please keep the information below in mind:

Hotmart will be responsible for calculating, collecting, and paying taxes on purchases made within Mexico by legal entities in domestic sales. This means that only creators who are companies registered in Mexico must calculate, collect, and pay taxes on purchases made within the country. In these cases, Hotmart will issue a withholding CFDI in the creator’s name, which the creator (legal entity) may use to offset the outstanding tax balance due.

To know more, check this article.

In accordance with local tax regulations, starting in May 2022, Hotmart began collecting GST (Goods and Services Tax) on sales made to buyers in New Zealand.

GST is a federal tax in New Zealand and must be charged whenever the purchase is made by a person located in the country. The location determination is made automatically by the payment page, as is the tax calculation.

The tax consists of a 15% rate on the sale value. For purchases made by businesses, it is possible to provide a valid IRD number (local tax identification number) and the start date to be exempt from this charge. 

Attention! If you are a creator, it is important to be aware of the following information:

• From April 1, 2025, with the new business model in place, Hotmart will calculate, collect and remit tax on all non-domestic purchases (i.e. Creators based in a country other than New Zealand and buyers based in New Zealand). Therefore, it is the creator's responsibility to calculate, collect and remit tax on all domestic purchases (i.e. buyers and creators based in New Zealand).

From November 1, 2024, Hotmart will no longer issue invoices for sales to Switzerland. This means that self-billing invoices and sales invoices in the name of Hotmart BV will no longer be available on the platform. Creators, as the suppliers of the content provided to buyers, will be directly responsible for managing VAT and handling invoicing details for their sales.
Hotmart will send sales receipts to buyers (instead of sales invoices), identifying creators as the actual sellers of the content. The sales receipt will include a statement clarifying that:

• Sales receipts are not tax invoices.
• Creators, as the actual sellers, are responsible for issuing tax invoices.

Additionally, Hotmart, as the digital platform intermediating sales between creators and buyers, will begin issuing invoices to creators in Switzerland to support the charge of Platform and License fees, applying VAT as required, in compliance with local tax regulations.

Purchases made by residents of England, Scotland, Wales, and Northern Ireland on foreign websites are subject to a 20% tax. For more information, click here.

Attention! If you are a creator, it is important to be aware of the following information:
 

• Hotmart automates the tax collection process. These taxes do not imply a reduction in the creator's commission, as they are applied to the product value.

Also, be aware of the following information:

1. Sale of ESS to UK buyers
   In this case, Hotmart is considered a reseller of the content and issues a self-billing invoice and sales invoices in its own name to represent a deemed resale. As a result, Hotmart will automatically calculate, collect, and remit tax, depending on the student’s location within the European Union.
   Tax and invoicing requirements may also apply in the creator’s country. 
   
    
2. Sale of Non-ESS to UK buyers
   In this case, it is the creator's responsibility to calculate, collect and remit tax, when the buyer location is within the UK.
   Hotmart will send sales receipts to buyers (instead of sales invoices), identifying creators as the actual sellers of the content. The sales receipt will include a statement clarifying that:

• Sales receipts are not tax invoices.
• Creators, as the actual sellers, are responsible for issuing tax invoices.

To understand how to categorize your product, please check this article.

In accordance with local tax laws, Hotmart began collecting taxes in 14 states starting in March 2022: Connecticut, New Jersey, Texas, Maryland, Washington, Pennsylvania, Ohio, Minnesota, Arizona, Colorado, North Carolina, District of Columbia, Rhode Island, and Wisconsin.

How does tax collection work?
Buyers who purchase a product in these states will pay the applicable taxes on the purchase price.
When the buyer accesses the Hotmart checkout page or selects the United States in the top menu, our system automatically identifies their location via IP. If they are in one of the 14 states mentioned above, taxes will be applied to the product price. It is important to note that taxes may vary depending on the location.