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How does tax work in the US?

Or you just outsource it to someone like Avangate.

I don't know how their service works. Do they pose as a 'gateway company' between you and your customers or are they just a payment gateway? If it's the latter, then the hardest problems still stand since accounting and invoicing is still something that you have to do.

It would be great to have a service that resells your goods/services and takes care of all that stuff so you can send a single invoice to them every month and that's it, but frankly, I'm not sure of the legal part of that.

They are buying the product from you and selling it on to the customer. So you only have one customer to deal with and you just need to invoice them once a month.

Yes - this API is an attempt to help with that.