August 3, 2025

Are Digital Products Like Templates, Ebooks or Courses Taxable in Texas?

Selling digital downloads, templates, or online courses can be a great way to scale your income as a designer, creator, or coach. But if you’re based in Texas—or selling to customers in Texas—there’s one important question to answer:

Are digital products taxable in Texas?

At Attah Digital, we build digital brands and ecommerce funnels for service providers and content creators. While we don’t provide tax advice, we’ve seen firsthand how confusing Texas tax law can be for creatives selling digital goods.

Let’s break it down.

🧾 What Counts as a Digital Product in Texas?

Texas defines a “digital product” as any electronically transferred good, including:

  • Ebooks
  • Templates (e.g. Canva, Notion, Figma)
  • Online courses (self-paced)
  • Stock photos or videos
  • Audio files
  • Downloadable guides, checklists, or planners

If it’s delivered via download, stream, or email, it counts.

✅ Are These Digital Products Taxable?

In most cases: Yes.
Texas does apply sales tax to many digital goods—just like it does to physical ones.

Examples of Taxable Digital Products in Texas:

  • Downloadable templates (design, resume, branding, etc.)
  • PDFs, ebooks, workbooks
  • Digital audio files or video files
  • Pre-recorded self-paced online courses
  • Paid access to gated content

📌 If you're selling to a customer in Texas and the product is taxable—you must collect and remit sales tax (unless they’re tax-exempt).

🚫 What Might Be Exempt?

Some digital products can qualify for exemption—but only under specific conditions.

Possible exemptions:

  • Live, instructor-led classes or webinars
  • Customised services (e.g. personalised brand kits)
  • Free downloads (no charge = no tax)

Always check with the Texas Comptroller’s Office or a tax professional for current exemption criteria.

💻 What About Selling Through Gumroad, Shopify, or Etsy?

If you sell digital products through a third-party platform, you still may be responsible for Texas sales tax—depending on how the platform handles it.

  • Shopify: You must set up tax rules manually and remit tax yourself
  • Etsy / Gumroad / Podia: Some platforms collect tax for you, some don’t
  • Teachable / Kajabi: Usually don’t collect sales tax by default

📦 Bottom line: If your product is taxable and your buyer is in Texas, you’re likely responsible.

📋 What You Need to Stay Compliant

  1. Register for a Texas Sales Tax Permit
  2. Track sales by customer location
  3. Set up sales tax collection at checkout
  4. File and remit tax to the state as required

💡 You can register here: comptroller.texas.gov

(Disclaimer: This post is for informational purposes only. Always consult a tax professional for specific advice.)

🧠 Final Thoughts

Texas might make it harder than it should be, but knowing the rules protects your business.

If you’re scaling your income through digital products, make sure your systems—and your brand—are built to grow and comply.

At Attah Digital, we help creators and coaches build beautiful, conversion-optimised digital stores that not only look premium—but also run smooth and smart.

✅ Selling digital products and want your brand to match your value?

Let’s build your digital funnel the right way → Work with us

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