- Days left

NY may start taxing music and pornography downloads

Money's tight, but who knew things were so bad in New York that they need to start taxing citizens for their tunes and late night digital trysts? If enacted, the new tax proposed by Gov. David Patterson would place a 4% charge on digitally delivered entertainment services such as music, movies and pornography. A state spokesperson defended the proposal, stating that it would bring consistency to entertainment options which are already taxed in store. Despite the lucrative tax implications there are plenty of people lining up to oppose the tax.

While there is a concern amongst some officials that the new tax would drive the adult entertainment and musical entertainment companies away from New York, the biggest complaint seems comes from the state's Conservative Party. Michael Long, the party's chairman, rails against the proposed tax claiming that taxing pornography legitimizes an industry which takes advantage of women and will encourage residents to download more smut.

As the National Post points out, raising the price of an item normally reduces the demand for it rather than encouraging more users to purchase it. Furthermore if you follow the Conservative Party's logic, that taxing an item legitimizes and encourages the use of it, New York is actually working hard to get its citizens to smoke by carrying the highest cigarette tax of any state.

The problem with this solution is that raising the prices of porn and music may bring in some money but with a faltering economy more people will turn to free online music streaming and perhaps discover that the internet is full of shocking adult imagery all available for free. If the state of NY really wants to raise some real money perhaps it should start taxing escorts like those Elliot Spitzer used to frequent; seems there's plenty of money to be made there!

Increase your money and finance knowledge from home

Understanding Credit Scores

Credit scores matter -- learn how to improve your score.

View Course »

Introduction to Retirement Funds

Target date funds help you maintain a long term portfolio.

View Course »

TurboTax Articles

Top 6 Tax Tips for Sharing Economy Freelancers

It's never been easier to earn a few extra dollars: Whether you drive for a ride-share company like Uber, rent out a room through a rental service such as Airbnb, or work for a company like TaskRabbit that outsources small jobs, errands and tasks?being a freelancer in the sharing economy means you may have one or more micro-enterprises or small businesses going on. And, just as your full-time job does, these endeavors often result in tax obligations people often overlook.

Claiming Property Taxes on Your Tax Return

If you pay taxes on your personal property and owned real estate, they may be deductible from your federal income tax bill. Most state and local tax authorities calculate property taxes based on the value of the homes located within their areas, and some agencies also tax personal property. If you pay either type of property tax, claiming the tax deduction is a simple matter of itemizing your personal deductions on Schedule A of Form 1040.

Side-Giggers: Tax Tips for Side Jobs

Having a side gig can help you make ends meet or build your rainy day fund. Income from freelance work, running your own small business or working at a second job brings in extra income without requiring you to quit your day job. But, like your main source of income, a second job or side gig must be reported on Form 1040 at tax time.

Tax Aspects of Home Ownership: Selling a Home

Though most home-sale profit is now tax-free, there are still steps you can take to maximize the tax benefits of selling your home. Learn how to figure your gain, factoring in your basis, home improvements and more.

Add a Comment

*0 / 3000 Character Maximum