Posted by RobMac on 12/30/05 12:39

I just got an email from Netflix (not that I'll be using them much longer
anyway) that states the following :

"Thank you for being a Netflix member. We are writing to let you know that
on January 1, 2006, as required by your state and local tax laws, Netflix
will switch from collecting a sales tax to collecting a use/rental tax. The
price of your Netflix plan is the same, but this change in tax types may
change your full monthly subscription charge slightly and will start on your
next billing date."

My question is : "What the hell is a use/rental tax" ?

I can find no mention of one in a Google search within PAs tax laws.
Is it more or less than PA's State Tax?
Anyone have any clues? Any CPAs out there?



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