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The New York State Assembly proposes 4% streaming tax

NYS Streaming Tax
Posted at 11:13 PM, Mar 16, 2023
and last updated 2023-03-16 23:13:57-04

BUFFALO, N.Y. (WKBW) — State lawmakers have just over two weeks left to submit their version of the state's budget for the next year. The New York State Assembly announced its version of the budget Thursday and their $233 billion plan for the state includes a $1.5 billion investment in housing programs, more than $34 billion for public schools, $7 billion for childcare programs and more than $9 billion total for transportation and infrastructure upgrades.

The majority of the money the State Assembly wants to allocate to transportation would go to the Metropolitan Transit Authority in New York City. To cover that cost, a part of the assembly's budget proposal could mean you'll have to pay more to watch shows on streaming services like Netflix or Hulu.

A lot of people have them and a lot of people love them.

"Hulu, Netflix, HBO and Amazon," said Robbie Gianadda. "I think all of them."

When it comes to watching your favorite shows, many say streaming is the way to go.

"You can watch whatever shows you want whenever you want instead of having to tune in at a certain time," said Veronica Romines. "There's not a lot on cable nowadays."

"Also accessibility I would say," said Read Bohanan. "It's much easier to click a show on Netflix than it is to find a show on cable."

For all the streamers who made that switch from cable to things like ROKU or YouTube TV, a 4% sales tax could be making its way into the equation. The democratic-led State Assembly is proposing ways to raise more money for the Metropolitan Transportation Authority in the New York City region as well as mass transit systems across the state.

Stephen Hawley, New York State Assemblyman said this change is due to inflation.

"I think it's just another example of needing more money or revenue for all of the new programs that they're coming up with that were expansions," said Hawley. "It makes absolutely no sense whatsoever. I'm a business man and if we've got expenses that need to be cut that's what we do."

Apps for streaming things like the news would be exempt from the tax. Additionally, the assembly is pushing for a 25 cent fee on delivery transactions in New York for both online and in-store purchases. Hawley said streaming is a way for people to relax and enjoy time with family and adding the tax will take that away.

"To attack every single individual that has this type of device on their television or on their computer just is not sensible and really goes after the working men and women of our state," said Hawley.

With the proposal in its early stages, some streamers said they'd be open to the tax increase but not without some hesitation.

"I think that would be fine," said Gianadda. "If we had more of a choice on our internet service."

"I'm fine with it," said Romines and Bohanan. "What would that be like localized like because I'm all for transit being you know. Like yeah it's definitely a problem I'm willing to put money into."