tax on NFTs is happening for the first time in us history

In July, Washington became the first American state that adds NFTs to the list of properties subject to tax.

Buying goods involves Sales taxes but a "use tax" is applied on state tax returns where no sales tax has been paid.

In 2021 about $17bn are estimated in NFT transactions worldwide by

Taxing NFTs is a complicated process because it is not measured by physical address, but through transfers through digital wallets. 

Still, confusion is going on between different US states. Some States believe that NFTs and other digital assets are taxable..

and some believe they are not taxable.
32 states, such as  Texas, and Washington have a rule about paying taxes for digital products.

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and 12 states don't have that kind of rule.

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