Streaming video and other services offered online have been slowly drifting into the tax arena over the years. Like in Indiana, Amazon customers have had to start paying taxes for online purchases, but now, buying goods isn't the only thing that will be taxed, according to Fortune.

Chicago recently passed a law to collect sales tax from their residents who use a streaming service such as Netflix, Amazon and Hulu. The streaming services are provided to customers on monthly subscription fees, with the exception of Amazon, which collects an annual fee.

The tax is currently only applicable to residents in Chicago and is based on the tax already on the books, which is the amusement and property tax. They have expanded this tax to include cloud-based technologies -- "cloud tax" for short.

According to ReedSmith, the legal interpretation is the tax now extends to "software as a service" (SaaS) and "platform as a service" (PaaS) to enforce over streaming video buffets like Netflix and its competitors.

The Verge reported Netflix already setup billing so it adds in the new cloud tax for its customers in Chicago. They also find a unique pattern that will apply to this, as the cloud tax makes its way across all platforms, which includes Spotify and Apple Music. That will basically lead to an increase in service costs, and the consumer will ultimately be stuck with the bill.

This comes at a time when Congress has taken up a new bill measure that would extend states' rights to collect taxes for online purchases in other states. This would apply to the state the customer resides in, not the state the seller resides in. Of course, if this passes at the federal level then the scope and reach of taxing authority will stretch farther over the cyber retail shopping industry, according to National Journal.