The Governor is considering a new sales tax on downloaded music and videos as part of a package of tax increases to help fill a large projected budget deficit, according to the Chicago Sun Times.  The download tax proposal – expected to raise between $5 and $10 million from on-line purchasers – is one of a dozen options that could increase taxes by between $360 million and $570 million.
 
Consumers are increasingly enjoying the convenience, selection, and environmental benefits of purchasing digital music, video, and other digital products on-line.  The proposed new tax would not only discourage on-line purchases, but it would also drive Illinois consumers to purchase from out of state sellers.  This is because, under the proposal, Illinois businesses would be required to collect the tax while out-of-state businesses would not.
 
With Illinois and other states desperate for revenue, it is critical that Illinois consumers take action now to prevent damaging new taxes on the digital economy.  Click here to let Governor Quinn know that you do not support a new tax on downloaded music and videos.