Alabama rule change would tax streaming video


Alabama residents would pay a tax on pay-per-view and Internet-streamed entertainment provided by services such as Netflix and Hulu, under a new rule proposed by the Alabama Department of Revenue. […] The new rule would apply the tax to “digital transmissions, such as ‘on demand’ movies, television programs, streaming video (and) streaming audio.” According to an internal letter by Revenue Commissioner Julie Magee, streaming media are considered tangible under state law because they can be seen, heard and are “perceptible to the senses.” – Tim Lockette, The Anniston Star