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Your activities are services unrelated to tangible personal property and as such they are not subjec to CA sales tax.
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Dear Biz Law:
Thanks for your response. However, I want to confirm something: if I email MP3 versions of the song to my client, you said no tax is needed since this is considered a service. But what if my client wants me to put a copy of the songs on a physical CD and US mail the disk to him….is this still considered a service, even though I've now created then sold a tangible item (the CD) to my client?
You are selling the copyrighted work and not the medium in which it is contained. If you were selling the recordings and not the intellectual property, the songs you wrote, then tax would be collectible but in your situation you do not have to collect sales tax.
If this answer is responsive to your question, please accept it. That is how we are compensated. It would also be appreciated if you provided feed back on your view of the answer. Finally, if the answer was especially helpful you can provide a bonus. If I can be of further assistance or you have other questions in the future you can ask for me and reach me at this site.
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