Apple expanded its claim that Chicago’s streaming tax violates the U.S. Constitution’s due process and commerce clauses by including their streaming services in the city’s 9% amusement tax. Apple argues these taxes on their “electronic amusements” violate the Internet Tax Freedom Act. The company also argues that consumers with Chicago billing addresses may spend considerable amounts of time using Apple streaming services outside of the city of Chicago, which violates the Illinois Constitution’s home rule provision.
In 2018, Apple’s claims addressed their music streaming services, but the company has now expanded their claim to addressing its video streaming, news, and other electronic services. (Apple Inc., v. The City of Chicago and Reshma Soni, in her official capacity as Comptroller of the City of Chicago, No. 2018 L 050514)