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Wisconsin Governor wants to tax iTunes downloads

updated 07:50 pm EST, Thu February 19, 2009

Wisconsin iTunes tax

Wisconsin Governor Jim Doyle would like iTunes customers to help pay for the state's budget shortfall, according to the Associated Press. Doyle has proposed a sales tax on a variety of digital downloads including music, movies, ringtones, electronic books and greeting cards. The state is short almost $600 million for the budget ending June 30th, while the next budget faces a deficit of $5.7 billion. Doyle claims the download tax would generate $11 million across the next two years.

A similar proposal presented two years ago did not make it past the committee level, according to WTN News. Proponents claim that the tax would increase fairness, bringing the same tax to Internet sources of music that a customer would typically pay if they bought a CD at a brick-and-mortar location. Some legislators stand in opposition, arguing that the state should not use the Internet as a source for tax funds, while online music retailers have claimed the tax would have a negative effect on their business.




by MacNN Staff

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Comments

  1. Herod

    Joined: Dec 1969

    -1

    do us a favor.

    Kill yourself Jim Doyle. Thanks.

  1. Herod

    Joined: Dec 1969

    -3

    do us a favor.

    Kill yourself Jim Doyle. Thanks.

  1. Guest

    Joined: Dec 1969

    +2

    Typical of Gov. Doyle

    It is the nature of government, at all levels, to want more money. Unlike individuals, government shortfalls in revenue do not result in cutting back expenses. Rather, it serves to motivate the government entity to become confiscatory and predatory as it seeks additional sources to feed its funding needs. Don't get me started on the need of those in authority to exercise unlawful power and control, forgetting from whom their authority derives. That was the fear of the founding fathers, which was their motivation to try to build safeguards into our form of government. 200 plus years later, slowly but inevitably, government has insinuated itself into every aspect of our lives and is taxing our lives in every expanding ways. That said, my response to Gov. Doyle's iTunes tax proposal is not only no, but h*** NO! Keep your hands out of my wallet. Just stop now. It's time for him to go.

  1. WiseWeasel

    Joined: Dec 1969

    +3

    inevitable

    This is completely inevitable as brick-and-mortar retailers are displaced by online distributors. It's only a (short) matter of time before the states all add their sales tax, and then we get municipalities' lawyers knocking on distributors' doors. At least this pressure will push for more streamlined calculation and distribution of sales tax rates and revenue, taking some of the burden off of online distributors, as trying to figure out all sales taxes everywhere can get extremely hairy.

  1. joeswell

    Joined: Dec 1969

    +2

    Sales Tax???

    So... there's no Sales Tax added when you purchase songs, etc on iTunes if you live in Wisconsin?

    In New Jersey, they've been collecting Sales Tax on iTunes Purchases since iTunes started. New Jersey adds Sales Tax on all Apple Store online purchases. If downloads can be taxed in one state, then they should be taxed everywhere.

    Why wouldn't Wisconsin want to tax iTunes downloads?

  1. JeffHarris

    Joined: Dec 1969

    0

    Do something real...

    Raise the damn gasoline tax!

    Decriminalize drugs and tax them. make 'em just like the other drugs of choice... Alcohol. Tobacco. Gasoline.

  1. bjojade

    Joined: Dec 1969

    +1

    Already taxed?

    Seems to me that every purchase I have made on iTunes is already being charged tax. Is apple just keeping this money? Sounds fishy.

  1. testudo

    Joined: Dec 1969

    -1

    oooh

    And that $11 million over the next two years is really going to help with that 6 billion shortfall you guys got.

    Good plan! Next up, how to stop the illegal drug trade by putting 15-year-old users in jail!

  1. Mr. Strat

    Joined: Dec 1969

    -2

    Lemme guess

    He's a DemocRAT?

  1. JackWebb

    Joined: Dec 1969

    +2

    Aww taxes aren't fair

    NJ is one of the worst tax state in the US. I guess it's not fair so let's all have higher taxes eh? No! Why do you work to improve the situation in NJ instead. States rights are going away but if you want things to be fair, how about they be more fair in favor of people instead of in favor of government control.

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