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New Jersey begins taxing iTS downloads like CDs and armored cars

The state of New Jersey is suffering from a slight $4.5 billion debt problem. Macenstein is reporting that amidst a recent sales tax increase and a frantic session of checking the sofa for change, Governor Jon Corzine has expanded the list of items which can be taxed to include, amongst other things, iTunes Store purchases. This means that all iTS downloads will be taxed at the same recently raised 7% rate of other newly taxable items such as storage space, tanning, health club memberships and security alarms.

Interestingly, Dr. Macenstein also reports that he'll be trying to work around the new charges by changing his virtual iTS address to another state. C'mon Dr. M, you need to pay up for your tanning and limousine luxuries just like everybody else.