Thursday, April 13, 2006

Music Downloads Taxable in 15 States

Via ABC Technology News.

This year Apple celebrated the one billionth music download from its industry-dominant iTunes online music store.

The service allows audiophiles to pick from thousands of individual songs and albums for 99 cents a song — tax free, right?

Not so fast. In 15 states plus Washington, D.C., those iTunes' downloads are taxable.

Come Tax Day, filers are supposed to claim them under something called a use tax, which is applied to out-of-state purchases.

More here.

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