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Tax & Compliance

GDPR + CCPA: When US Startups Become Subject to Data Privacy Laws

Collated by Aparna Devalla, CPA

Curated by Rubric Financial

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When GDPR Applies to a US Startup

  • GDPR applies if you process personal data of EU/EEA residents — regardless of where YOUR company is based.
  • Triggers: signing your first EU enterprise customer, having any EU end users on your platform, even running marketing campaigns targeting EU residents.
  • Penalties are existential: up to €20M or 4% of annual global revenue, whichever is higher. Even smaller fines (€10K-100K) for procedural violations are common.
  • If you have ANY EU footprint, you need a GDPR compliance program. The good news: most of it is good privacy hygiene that helps with other regulations too.

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