Why StubhHub customers might be be paying even more for tickets soon

StubHub lost its appeal at a Wisconsin appellate court over an approximately $8.5 million tax assessment tied to fees on ticket sales, according to a January 15, 2026, Law360 Tax Authority report on the decision.

​Wisconsin tax authorities argued that StubHub’s service fees on tickets sold to Wisconsin events should be subject to Wisconsin sales tax, and the appeals court sided with the state’s position.

Here's why it matters: If other states follow a similar approach, more of the fees tacked onto ticket purchases for concerts and games could be subject to sales tax, potentially increasing what consumers pay at checkout.

What the StubHub tax dispute case is about

​The tax dispute originated in Wisconsin Circuit Court (Cir. Ct. No. 2023CV665) and centered on whether StubHub’s fees are part of the taxable sales price when tickets are sold for events in Wisconsin.

Wisconsin tax authorities argued that because StubHub controls the transaction and collects payment, its service fees are part of the taxable sales price under state law.

​"Because StubHub effected the actual transfer of the tickets sold on its website in exchange for payment, i.e., the sale, we conclude that StubHub is in fact a seller," Presiding Judge Pedro A. Colon wrote in the ruling.

The judge's ruling effectively says StubHub's service fees are taxable under Wisconsin law, just like the ticket itself.

Who could be affected by the StubHub legal dispute

Ask almost any consumer, and they'll agree that the whole event ticket-buying process can be an exercise in frustration. I recently went to purchase a ticket on the "secondary market" for a concert in Reno, Nevada, where I live, and was shocked to see 30% worth of fees added to the ticket price: the concert ticket was $98, and the additional fees were $31.

Had I sprung for the $153 seat, the fees would have jumped to $37.

Why is the "fee" — which is not a tax but is what StubHub calls a "fulfillment and service fee" — higher for one seat than another? Is it more expensive to process a $153 seat than a $98 seat? Doubtful.

That experience mirrors exactly what Wisconsin tax authorities are now scrutinizing: vague service fees that scale with ticket price but are not clearly explained to consumers.

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The Wisconsin ruling primarily affects StubHub’s tax tab in Wisconsin, but it also signals how states may treat service fees on ticket‑resale platforms more broadly.

Legal experts have noted that courts are increasingly skeptical of ticket-resale platforms’ efforts to separate service fees from taxable sales prices when the platform controls the transaction.

StubHub has faced similar lawsuits, including in Washington, DC.

"Hidden fees in the ticketing industry have truly gotten out of control. The price that is advertised is the price that we should pay — full stop," CEO of the National Consumers League (NCL) Sally Greenberg said in response to 2024's DC suit. The NCL is a nonprofit consumer advocacy group.

What StubHub and the state say happens next

The Law360 account notes that StubHub lost at the appeals level, which narrows its options to further appeals if the company wants to keep fighting the assessment.​

For Wisconsin, the decision reinforces its authority to tax these kinds of fees, and the state can now move closer to collecting the roughly $8.5 million tied to this dispute unless a higher court intervenes.

​StubHub characterized its role as "a passive online marketplace" between ticket holders and buyers and argued that responsibility for collecting sales tax should fall on others, according to the ruling.

StubHub has not said whether it will appeal to the Wisconsin Supreme Court, per reporting in Ticket News.

StubHub’s legal history

The Wisconsin decision adds to a growing list of legal challenges that the ticket-resale platform has faced:

• 2024: Washington, D.C.’s attorney general sued StubHub, alleging the company used deceptive “drip pricing” and hidden junk fees that added an estimated $118 million in undisclosed charges to ticket purchases since 2015, as outlined in Reuters.
• 2021: California sued the company over pandemic‑era cancellations and StubHub agreed to a settlement that memorialized about $20 million in cash refunds to more than 45,000 consumers. The settlement also included a $295,000 civil penalty, according to an announcement from the California Attorney General's office.​
• 2025: ​StubHub is the target of securities class‑action litigation over its IPO disclosures, with investors alleging the company failed to adequately disclose changes in the timing of payments to vendors that significantly affected free cash flow, as outlined in Justia.​
• 2015: The New England Patriots accused StubHub of encouraging illegal above‑face‑value resales, as reported by ESPN.​
• 2007: Rival ticket seller Ticketmaster sued StubHub, claiming the resale platform interfered with its exclusive venue contracts by offering “official premium tickets” to events where Ticketmaster controlled primary sales, according to Reuters.

What the StubHub ruling could mean for big summer tours

Concert ticket prices have risen sharply in recent years, with the average U.S. ticket price jumping significantly and service/processing fees adding as much as 44% to the base price, according to the U.S. Justice Department’s analysis of ticketing economics. The Federal Trade Commission is currently suing Ticketmaster and Live Nation for engaging in "illegal ticket resale tactics."

With major acts like Harry Styles and Olivia Dean gearing up for 2026 tours — where ticket prices and resale prices have already been a source of fan frustration — the Wisconsin ruling signals how states might treat service and resale fees going forward. Ultimately, the ruling could mean even higher ticket prices.

Related: StubHub IPO lawsuit could bring investor pain, potential fan gain