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Statement On New Hidden Taxes On The Ballot in California Cities

SACRAMENTO, CALIF. – Robert Callahan, California Executive Director of the Internet Association, issued the following statement ahead of tomorrow’s vote on Measure K1 in Alameda, and Measure K in Watsonville:

“Despite what city officials want voters to believe, these ballot measures include hidden, new taxes on websites and apps that stream video content. Voters must understand that applying the Utility Users Tax to websites and apps represents a broad expansion of the definition of utilities, and could lead to increased taxes on these services in California. It would also open the door for countless other industries to be targeted for similar tax grabs in the future. Websites are not utilities, and should not be subject to the Utility Users Tax.”