Digital Download Tax Looming
Imagine paying sales tax on digital downloads like iTunes content. If your think no way that ever happens then you might be suprised.that nearly 20 states have laws on the books that support it.
Why have the states waited this long to try to impose tazes? Partially due to demand. In years past there was less demand for music and movie downloads. Today with services like iTunes, Amazon, eMusic and Rhapsody running at full speed the market brings in significant numbers. iTunes alone has sold over 4 billion downloads.
What comes next? California is going to battle over whether or not to they want to go down the road of taxing digital downloads. With the current budget deficit in the state it might be seen as a likely source of additional income.
Time will tell but we hope that the industry can go on without having to impose such taxes on consumers.
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