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In Chicago, PlayStation users will soon have to pay a 9% "cloud tax"

Bulls hit.

PlayStation users in Chicago will soon have to pay a nine per cent "cloud tax".

Sony issued a warning to users in Chicago (thanks, USGamer), signalling Chicago's Amusement Tax begins on 14th November, and so will collect nine per cent more from PlayStation Plus and PlayStation Now, among other PlayStation subscription services.


The Amusement Tax does not apply to sales of video games. So, if you're in Chicago and buy a game from the PlayStation Store, you don't have to pay extra. Rather, it applies only to rentals (considered streaming or temporary downloads), where the charges are subscription fees, per-event fees or otherwise, which is why Plus and Now are affected.

"The charges paid for such rentals may be subscription fees, per-event fees or otherwise," the law stipulates.

As you can imagine, gamers in Chicago aren't particularly thrilled at the idea.

Chicago's Amusement Tax, which was designed to apply to live events but has been successfully extended to online services, is the first of its kind in America. Sony has joined companies such as Netflix and Spotify in collecting the tax, but a number of businesses are challenging it on a legal basis. Apple, for example, has lodged a complaint against the city of Chicago over it.

It's expected PC, Xbox and Nintendo customers will be similarly affected, pending any legal challenge.

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About the Author

Wesley Yin-Poole avatar

Wesley Yin-Poole

Deputy Editorial Director

Wesley is deputy editorial director of ReedPop. He likes news, interviews, and more news. He also likes Street Fighter more than anyone can get him to shut up about it.


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