Not in Canada... but coming to a state near you
Also, Internet shoppers accustomed to tax-free purchases from Apple Computer's iTunes Music Store soon may be in for an unpleasant surprise. State legislatures and tax officials, eager to find new ways to boost government spending and curb budget shortfalls, are eyeing the burgeoning market for digital downloads as a potentially lucrative source of revenue.
A CNET News.com analysis shows that 15 states and the District of Columbia now tax downloads of music, movies and electronic books. Some high-tax states such as California do not levy the same charge on iTunes downloads, but that could soon change.
Is your state at risk for the "iTunes tax"? Democratic politicians in state capitals are more likely than Republicans to permit taxes on digital purchases of songs and movies. A CNET News.com analysis of the states that tax digital downloads, such as those from the iTunes Music Store, shows that nine protax states have legislatures controlled by Democrats. By contrast, five of the protax states have Republican-controlled legislatures.