- The Louisiana Board of Tax Appeals ruled in favor of a streaming service provider, finding that a sales tax imposed on music streaming subscriptions in New Orleans violated the Internet Tax Freedom Act (ITFA).
- The taxpayer argued that the tax was discriminatory under the ITFA since it was imposed on their streaming service but not on similar services delivered via satellite transmission.
- The Board determined that the taxpayer’s Internet music streaming service and satellite music streaming service were essentially the same, and the city’s sales tax was applied in a discriminatory manner prohibited by the ITFA. The assessment was invalidated.
Source PwC
