Six Chicagoans have sued the Windy City over its new 9 percent tax levied as part of the “Amusement Tax Ruling” that went into effect on September 1.
The tax, which the city of Chicago maintains is “not an expansion of the laws,” imposes an additional surcharge on various online services, including Netflix, Spotify, Hulu, Xbox Live, and others.
“We will be adding it to the cost we charge subscribers,” Anne Marie Squeo, a Netflix spokeswoman, previously told Ars in a statement. “Jurisdictions around the world, including the US, are trying to figure out ways to tax online services. This is one approach.”