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Lawsuit: City sidestepped law in enacting 'Cloud Tax' via administrative ruling on streaming media

By Jonathan Bilyk | Friday, Sep 11, 2015 @ 4:56pm

A group of Chicago residents who subscribe to a range of online streaming media services, including Netflix, Xbox Live, Amazon Prime and Spotify, have sued City Hall, asserting the decision by the city’s comptroller to tax the services under the city’s existing amusement tax is illegal. On Sept. 9, the Chicago-based legal non-profit Liberty Justice Center filed the complaint challenging the so-called “Cloud Tax” in Cook County Circuit Court on behalf of six Chicago residents.