Chicago adds 9% tax on Netflix

CHICAGO (WISH) — People who live in the Windy City now have to budget more to binge watch their favorite shows on Netflix.

That’s because Chicago’s department of finance ruled last month that the city can tax streaming services like Netflix and Spotify an extra 9 percent.

The finance department allowed for an amendment to the “amusement” tax that now includes “electronically delivered amusements.”

The tax applies to all streamed music, movies, television and also goes for online gaming.

The extra nine percent tax went into effect July 1.

And Chicago isn’t the first with this idea.

Washington already has a 52 cent sales tax on a monthly Netflix subscription.

More than two dozen other states charge for some digital services.

In Wyoming, Vermont and Mississippi, you’ll pay a tax on music downloaded from iTunes.

And, when it comes to apps, New York city will charge you an extra 12 cents to download Angry Birds from iTunes.

As for Indiana, we don’t have to pay any sales tax on digital services.