Connecticut Considers Digital Download Tax

SonicSpike writes in with a story about the latest state contemplating raising revenues by taxing the net. "Downloading music, movies, e-books and Apps could soon cost Connecticut residents more as lawmakers consider a tax on digital downloads. The bill, proposed by the General Assembly's Finance, Review and Bonding Committee, would have consumers pay the 6.35% sales tax on any electronic transfer. Supporters say the bill would level the playing field for brick-and-mortar retailers in the state who are already required to charge Connecticut sales tax to consumers who purchase these products in their stores. About 25 states around the country have already begun taxing digital downloads."

Comments

Sales tax...

[Roogna]

I realize the world doesn't work like this. But in my opinion if they're going to tax the purchase it should then fall under all the rules of buying from a Brick and Mortar store too, such as the First-sale doctrine. After all, if I buy a book from a brick and mortar I'm legally allowed to sell that book to someone else. On the other hand, when I download from iTunes I have no way to sell that item, because I didn't purchase it, I "licensed" it. Which the businesses love to remind us. If I'm then being taxed as if I'd purchased it, then the states should require the companies by law to treat it like any physical purchase and allow me to transfer the ownership of it.

Re:I am not surpised

[W3BMAST3R101]

That works when you aren't in a monopoly or cartel-controlled market, which all of ours are now.

Thanks to the polices of the State that encourage this behavior.

Re:Nahh

[Ihmhi]

That would never work. After all, people never regularly cross the border into Pennsylvania or Delaware to buy fireworks or fill their trunk with tax-free cigarettes. Nope, never happens.