- Mainers subscribing to streaming services like Netflix and Spotify may soon face a new tax.
- A 5.5 percent sales tax on streaming services was included in the $320 million supplemental budget.
- This is the second attempt by Gov. Janet Mills to impose this tax.
- Streaming services were previously exempt from this tax, unlike cable TV and digital media sales.
- The tax aims to align with practices in other states and modernize sales tax provisions.
- Former Gov. Paul LePage proposed a similar tax in 2017, and Mills in 2020.
- Sen. Jim Libby expressed concern about the impact on constituents.
- The new budget also adjusts the service provider tax from 6 percent to 5.5 percent.
- Both cable and streaming services will now be taxed at 5.5 percent.
- Mainers can expect a 5.5 percent increase in their streaming service bills.
- Netflix’s standard plan could increase by nearly $1 monthly.
- Peacock’s basic plan could increase by 40 to 50 cents monthly.
Source: themainewire.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
