Streaming tax complexity: The unknowns can cost you
Streaming media is booming. As the pace of cord cutting continues to accelerate, everyone is talking about their favorite show — and they tap multiple subscription services to watch all the shows they want, and when they want them. This trend will continue, and recent unplanned spikes will likely not revert to previous levels. But how many providers are absolutely sure they're prepared to manage this volume of activity, especially from a tax perspective?
Unfortunately, for many companies taxes can be an afterthought. Expansion into multiple jurisdictions makes things more complicated, especially for streaming businesses. Many aren't aware that much more complex communications and specialized streaming taxes are levied in addition to traditional sales and use taxes. Ensuring the correct knowledge, processes, and systems are in place can greatly minimize compliance risk.
It's important to remember that as consumer viewing habits change, tax requirements will likely follow. As viewers continue to cut the cord from traditional, taxed TV service, jurisdictions may consider restructuring tax requirements to compensate for these lost revenues.
What you'll learn in this webinar:
The nuances of specialized streaming media taxes
When and where these taxes are imposed
Some examples of complex tax scenarios
How to best track state-by-state requirements
Tips, tricks, and tools for calculation and remittance