This License applies to any original work of authorship whose owner has placed the
following notice immediately following the copyright notice for the Original Work:
Licensed under the Open Software License version 2.0.
Iowa Open Software License
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How to fill out Iowa Open Software License?
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Open source software can be used for commercial purposes. This means you can use open source software for commercial purposes but you can't always place restrictions on people who receive software from you. And commercial doesn't mean the same thing as proprietary.
As mentioned above, the OSI's definition of open source software is free in the sense of giving freedom to those who use it. So in the most common way of thinking, where "free" means no upfront cost to use, modify, or distribute, the answer is yes: the software is free.
Services provided to the following entities are exempt from sales and use tax: Iowa private nonprofit educational institutions, the federal government, Iowa governmental subdivisions, Iowa government agencies, certain nonprofit care facilities, nonprofit museums, and nonprofit legal aid organizations.
Nearly all open source software is free software, but there are exceptions. First, some open source licenses are too restrictive, so they do not qualify as free licenses. For example, Open Watcom is nonfree because its license does not allow making a modified version and using it privately.
But, in most, it's a mixed bag. California exempts most software sales but taxes one type: canned software delivered on tangible personal property an actual object you can touch or hold, such as a disc. Nebraska taxes most software sales with the exception of one type: SaaS.
Ideally, all software purchases should be taxable to final users and exempt for business users. Instead, states tax some kinds of software and exempt others, based on whether it is customized or off-the-shelf and whether it is on CD or downloaded, all silly distinctions for tax purposes.
Sales of custom software - downloaded are exempt from the sales tax in Iowa.
The retail sale of software sold as tangible personal property is generally taxable in Iowa unless considered an exempt commercial enterprise.
Open source tools and technologies are free for the taking, as long as enterprise IT organizations correctly calculate the cost of implementation, support, contribution and more.
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