From the city that taught everything Obama knows about thuggery …

Netflix service in Chicago is about to get notably more expensive. On the hunt for new revenue, Chicago’s Department of Finance is applying two new rules that would impact companies like Netflix and Spotify. One covers “electronically delivered amusements” and another covers “nonpossessory computer leases”; together they form a unique and troubling new attempt by cities to tax any city resident that interacts with “the cloud”. According to the Chicago Tribune, streaming service providers need to start collecting the tax starting September 1.

No fun for you without paying us!

8. The amusement tax applies to charges paid for the privilege to witness, view or participate in an amusement. This includes not only charges paid for the privilege to witness,view or participate in amusements in person but also charges paid for the privilege to witness,view or participate in amusements that are delivered electronically. Thus:

a. charges paid for the privilege of watching electronically delivered television shows, movies or videos are subject to the amusement tax, if the shows, movies or videos are delivered to a patron (i.e., customer) in the City (see paragraph 13 below);

b. charges paid for the privilege of listening to electronically delivered music are subject to the amusement tax, if the music is delivered to a customer in the City; and

c. charges paid for the privilege of participating in games, on-line or otherwise, are subject to the amusement tax if the games are delivered to a customer in the City.The customer will normally receive the provider’s electronic communications at a television,radio, computer, tablet, cell phone or other device belonging to the customer.

9. Providers who receive charges for electronically delivered amusements are owners or operators and are required to collect the City’s amusement tax from their Chicago customers.See paragraphs 13 and 14 below. As of the date of this ruling, the rate of the tax is 9% of the charges paid.

It is who they are, it is what they do.

(PS Here’s a suggestion for Netflix … stop streaming to all Chicago customers on 9/1.)