Never heard of this, probably because in my state it doesn't apply. In 42 out of the 50 states (excluding California, Hawaii, Kentucky, Maryland, Michigan, Mont

Never heard of this, probably because in my state it doesn't apply. In 42 out of the 50 states (excluding California, Hawaii, Kentucky, Maryland, Michigan, Montana and Virginia [Oregon has no sales Tax]) however, this does apply. Still though, the example is a good one. You're trading your data for a service. There isn't anything to tax.