So the state of Texas has decided that the Wall Street Journal and New York Times are not newspapers, because according to Texas, a newspaper is “a publication that is printed on newsprint, the average sales price of which for each copy over a 30-day period does not exceed $1.50, and that is printed and distributed at a daily, weekly, or other short interval for the dissemination of news of a general character and of a general interest.”
The code was last updated in 2003 but apparently nobody thought about inflation.
Since the WSJ’s newsstand price is greater than $1.50, it no longer qualifies as a newspaper and thus is not exempt from state taxes (last year it paid less than a hundred grand to TX).
Dow Jones has filed suit against the state of Texas to protest the reclassification and get its tax refunded, calling the taxation a first amendment issue.
Besides, Dow Jones said, 96 percent of the WSJ’s sales in Texas are to subscribers, who pay less than 73 cents per copy. (h/t Hollywood Reporter)