“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,” John Borland reports for CNET News. “At issue is whether consumers need to pay tax on digital downloads such as movies or songs purchased from Apple Computer’s iTunes store. Already in a few states, those who don’t voluntarily pay a few extra cents of tax on their 99-cent downloads are 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… A spokesperson for South Dakota’s Department of Revenue said that state’s sales tax laws already apply to digital downloads. In Utah, too, iTunes shoppers who aren’t paying tax aren’t following the rules,” Borland reports.
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MacDailyNews Take: “Collecting more taxes than is absolutely necessary is legalized robbery.” – Calvin Coolidge