Xbox has finally gotten rid of microsoft points and has now put a dollar amount out for purchases...... If you had a blance of Microsoft points they replaced with a dollar amount equal to what you had left on your account......Thank god no more having to think how many point packs do i need to buy something...

There is one caveat. Correct me if I am wrong, but since it has moved to a real money system now we get to pay tax on all digital purchases through xbox live? Or did we always pay tax when we bought points or points cards before?

Well, that's a step in the right direction. Can you buy outright without putting money in the account first?

not really sure on both questions but im at work and have some free time so im going to do some more digging will have answers with int the  hour i hope

There is one caveat. Correct me if I am wrong, but since it has moved to a real money system now we get to pay tax on all digital purchases through xbox live? Or did we always pay tax when we bought points or points cards before?

this is what ive found on xbox live

 

Will I be taxed on the content that I buy on Xbox Marketplace?

 

We will not apply taxes when you purchase content using currency that we add to your account at the time of the transition. However, when you use currency that you add to your account after the transition (including from Xbox Gift Cards), all appropriate taxes will be applied to those purchases.

well this is what i have found.... really dont know if this is going to turn into a good thing or another money pit......

 

http://support.xbox.com/en-US/billing-and-subscriptions/account-management/microsoft-points-retire-faq

not sure but sounds like any money will be just straight foward no more banking money once we hit 2014

It's good that it's going to be straight forward money in the future, but the taxes on gift cards sucks.

ya that really dont make any since cause when you buy the gift card your going to be taxed then taxed again when you use it......WTF...

I had a feeling the tax thing was gonna come in to play