Perhaps you recall a news story we published on January 29, which mentioned North Carolina hopping on board with New York for a state sales tax affecting Internet downloads (and possibly downloadable content, aka DLC, for video games), in an effort to close a now reported as $14 billion state budget deficit.
Good news for some, anyhow: the state of New York has decided to curb the proposal, not just on Internet downloads, but also "clothing over $100 and non-diet sodas", and much more in a list of almost 140 tax hikes.
Governor David Paterson announced the change yesterday, saying at an Albany news conference joined by state senate and assembly leaders, "We're coming up with money from the federal stimulus money for what we're taking off the table today," later adding, "[New Yorkers] see it as inconvenient and frustrating."
Paterson figures going back on the proposal will encourage citizens to spend, as it seems, in line with the stimulus plan's intention.
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