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Why Spotify increased their monthly payment price

Jennifer Ronzon, Reporter

Did your Spotify charge look different this month? You are not imagining things. A recent change in Florida tax law has raised the price of the audio streaming service.

 Image courtesy of Heidi Fin via Unsplash.

Likely lost in the “junk” folder of your email, is a notice from Spotify explaining an increase in subscription costs as of Feb. 1, 2021. The increase may cost you up to an additional $2.26 per month, depending on which plan you are subscribed to, and what zip code is attached to your account.  

Before you get angry at Spotify understand the increase is out of their control. The State of Florida is now requiring the streaming service to apply the Florida Communications Service Tax to users’ monthly subscription fees.

While the Communications Service Tax was previously only applied if users had Hulu activated through their account, recent changes stretch its reach to the audio portion of the streaming service as well.  

The CST is applied by both state and local governments- creating a combined nearly 15 percent tax for some users.

To view a breakdown of your monthly bill, simply login to your account on spotify.com and click “receipts” in the left side bar. From there you can click each month’s bill and see exactly what you are being charged. 

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Why Spotify increased their monthly payment price