Sales tax added to Netflix and Hulu in PA

Netflix will now have a sales tax attached to it in Pennsylvania. The 6 percent state sales tax in Pennsylvania will be extended to digital downloads and streaming subscription services like Netflix and Hulu.

Governor Tom Wolf signed a bill passed by state lawmakers that starting Monday the resources gained by this added sales tax will be used to help close the gap in  a $1.3 billion hole in the state’s new $31.5 billion budget.

The subscription services will determine if a user should be charged the Pennsylvania sales tax by their mailing address. Users with a Pennsylvania mailing address will now be charged an extra 6% on their subscriptions.

Any business that uses these services will also be required to pay the sales tax and report it to the state Department of Revenue.

 

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