Chicago: Hey, Lets Tax Netflix

The financial stress of the City of Chicago financial obligations is growing. This week the city had to make a $634 Million payment to Chicago teachers pension plan and now are looking at a $175 Million property tax increase. But they are not done taxing and when governments are broke, they get desperate. Here is more from

The Windy City needs cash, and its citizens like to watch movies and develop web apps. Time to get on that gravy train.

A ruling by Chicago’s Department of Finance allows the city to add an extra nine percent tax onto “electronically delivered amusements” and “nonpossessory computer leases.”

In an odd combination, buying a subscription to streaming media, such as Netflix or Spotify, would qualify, as would using a cloud computing platform, such as Amazon Web Services. Each would be subject to 9% tax; Chicago is the first major American city to levy a tax on either streaming services or cloud computing services.


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