Thanks for the good will and advice. This has been an issue that we've looked into and we're trying to find out how other companies (IE. Shopzilla) has handled this issue in the past.
Thanks again for the tip and appreciate the advice.
Right now we support both PayPal payment and iTunes card redemption. Users can save their payments towards a iTunes card which we will email it to them. Other redemption others are in the works.
As for the tax, state laws vary and we don't collect information about the user's location. So far this hasn't been an issue with our users but we'll collect geo info if this becomes a concern.
Good point on the 24 hour refund and our Android strategy since the market mechanisms are so different. We're currently working on our Android story and looking at how to get the best distribution on the different Android AppStores that are out there right now.
Thanks again for the tip and appreciate the advice.