Chicago has collected $2 million in tax from Sony, Eventbrite and Fandango, becoming the first large city to successfully tax digital streaming and service providers, Bloomberg reports.
Chicago becomes first city to collect "Netflix tax"
Four years ago, Chicago imposed a 9% tax on streaming entertainment services, leading to a flurry of lawsuits. Now, the city has collected $2 million in sales tax from Sony and two online ticketing services, making it the first major city to collect such a tax successfully, Bloomberg reported.
The city collected $1.2 million from Sony in January, on services including PlayStation Video live events and purchases of music and video, according to Bloomberg. It also collected nearly $800,000 from Eventbrite and $70,000 from Fandango, the outlet said. The levy has been dubbed the "Netflix tax" because it targets streaming video services in addition to gaming and other digital entertainment.-- More....
