States Seeking Levies on Digital Downloads

evdubs writes "15 states and the District of Columbia currently tax online media, with others eager to begin their own taxes. The RIAA estimates that domestic sales totaled $503 million last year, but that figure doesn't include movies, e-books, online video games and other forms of digital media. Perhaps the most interesting point in this article is the way states, looking to start taxing online media, are trying to use the interpretation of previous law and apply it to digital media. In Washington, politicians are using their definition of software (already taxable), 'a set of coded instructions designed to cause a computer...to perform a task,' to justify taxation of online media because 'they cause some action by a piece of hardware to play them.'"

Comments

Re:Back to the old 'underground'

[punkr0x]

so this cd of linux is worth an estimated 10000, so you owe us 100 bucks or we put you in jail

Shut up, you'll give them ideas!!

Go right ahead

[punkr0x]

How are they going to tax allofmp3? I bet those clever russians have a loophole for just such an occassion.

In Future news..

[Ryz0r]

Piracy on the rise in 15 states and the District of Columbia

One more business for the reservation

[Anonymous Coward]

Well. The iTune, Napster and eMusic will just have to move to Navajo country to circumvent the law along with the casino and cheap cigarettes!

yeah but...

[k4_pacific]

If the levy breaks, will there be a torrent?

Anyone have a list of the states?

[justindz]

15 states and the District of Columbia currently tax online media...

I'm curious to know which they are. I was recently forced out of my house due to a sinkhole. I'd consider relocating based on digital download taxes.

No, not really. But I'd like to know.