Understanding Tax Exemptions and Taxables
State and local taxation of streaming services
Impose new taxes specifically on streaming
E.g., Iowa enumerates "pay television" services as
taxable
In 2018, the legislature amended the law to read "pay
television, including but not limited to streaming video,
video on-demand, and pay-per-view
Streaming as a digital product
Ohio and Tennessee impose sales tax on specified
digital products (defined to include audio-visual works)
that are provided for permanent use or less than
permanent use, regardless of whether continued
payment is required
Utility Taxes or other communications taxes
Pasadena, CA has amended its utility user tax
ordinance to impose the tax on "all services related to
the providing of video programming"
Florida imposes its Communications Services Tax on
certain communication services, including "the
transmission, conveyance, or routing of...video," and
rulings have deemed streaming services to be subject
to CST.
Amusement taxes
City of Chicago, City of Evanston
Imposes the amusement tax on any video streaming,
audio streaming, or online games delivered
electronically to mobile devices, and any paid television
programming, whether transmitted by wire, cable, fiber
optics, laser, microwave, radio, satellite or similar
means
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