Cable Operators Win Key Decision as Ohio Supreme Court Declares Satellite Sales Tax Legal

December 28, 2010  •  Post A Comment

Cable-television operators won a major victory on Monday when the Ohio Supreme Court ruled that a sales tax on satellite-TV customers doesn’t violate the interstate commerce law, reports the Dayton Daily News.

Satellite-TV customers must pay a 5.5% sales tax, imposed as part of a budget-balancing tax package in 2003, the story says. But the state Legislature decided not to apply the tax to cable-TV operators, which instead pay local franchise fees in the 2% to 5% range.

Cable companies had argued that the satellite tax leveled the field, while satellite-TV companies had said the tax is an unfair burden and hinders fair competition, the article notes.

2 Comment

  1. How does this equate? Is the Ohio Supreme Court composed of ignorant morons trying to make economic policy?
    Franchise fees are not paid by customers (at least not directly like taxes)… and franchise fees aren’t taxes anyway.
    If I were an OH resident and satellite TV customer, I would be absolutely furious with the state of OH.

  2. Hey how are you doing? I just wanted to stop by and say that it’s been a pleasure reading your blog. I have bookmarked your website so that I can come back & read more in the future as well. plz do keep up the quality writing

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