Friday, March 11, 2005
Paying the iPod Tax
Posted by James Fee in "NEWS" @ 01:00 PM
"Legislators in Wisconsin are mobilizing against a proposal they call the "iPod tax," in a battle over online music and movies that could soon spread across the United States. At issue is whether consumers need to pay tax on digital downloads such as movies or songs purchased from Apple Computer's iTunes store. In a few states, those who don't voluntarily pay a few extra cents of tax on their 99-cent downloads are already technically breaking the law. Wisconsin Gov. Jim Doyle now wants his state to start collecting taxes on digital music, videos and software. Key Republicans in the GOP-dominated legislature say they will block the proposal, but administration officials say they're just trying to make things fair."It was only matter of time before states started trying to increase their revenue from music sales. I don't really think there is much money to be had taxing 99 cent downloads, but with the federal government reducing the amount of money being given to the states, and states having to pick up a bigger share of federally mandated programs, this was inevitable.
