Apple Settles Lawsuit Against Chicago’s ‘Netflix Tax’ That Places 9% Tax on Electronically Delivered Amusements

Apple has settled its lawsuit with Chicago over the city’s so-called “Netflix tax”. The tax placed a 9 per cent levy on “amusements that are delivered electronically” — essentially targeting streaming services. The exact terms of the settlement weren’t made public.

Chicago introduced the new tax in 2015 as it attempted to make up for the lost revenue from traditional brick-and-mortar stores. Apple filed its challenge in 2018, and was one of many groups and companies objecting to the law.