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Congress should renew tax ban on internet
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rjak-@sbcglobal.net
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Oct 11, 2007 06:02 PDT
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Congress should renew a tax ban to keep broadband inexpensive and to
avoid double taxing.
October 8, 2007
Taxes and other government-imposed charges can boost your phone and
cable TV bills by 20% or more. To guard the Net against that kind of
pile-on, Congress in 1998 adopted the Internet Tax Freedom Act, which
temporarily barred state and local governments from taxing online access
services or imposing discriminatory levies on Web-based businesses. The
ban was renewed in 2004 but is due to expire Nov. 1. Before it does,
Congress should make it permanent.
The Internet is transforming how people communicate, work, learn and
play, especially as broadband proliferates. Although roughly half of
U.S. Internet users have broadband at home, millions do not have any
kind of Internet service there, and millions of others have only dial-up
accounts. These folks are largely poor, elderly or rural, and the
federal government needs to ensure their access to affordable broadband
services.
Barring states and cities from taxing Internet access won't close the
connectivity gap, but it will help keep down the price of broadband
service. That's an important step in the process of enabling more
consumers to afford it. The prohibition also spares many cable-modem and
DSL users, who pay taxes on the TV and phone services they receive
through the same wires, from being double-taxed. Nor should Web-based
companies have to pay taxes that their brick-and-mortar rivals do not.
Mail-order businesses are immune to taxes outside the states where
they're based, so e-commerce companies should be too.
Lobbyists for state and local governments have warned Congress that
Internet-access companies will bundle phone, TV and other services with
broadband to avoid taxes on the whole package. It's a good point, and
lawmakers should be careful that the protection for purely Web-based
businesses doesn't become a loophole for Internet-access companies to
exploit. These lobbyists also have argued against a permanent extension
of the tax moratorium, saying the Net is changing too rapidly to predict
the long-term effect of the ban. That's not a persuasive argument,
because Congress can pass another law ending the ban if needed. The
greater risk is the one Congress faces now. Several states are poised to
institute new taxes on Internet access the moment the current moratorium
lapses. That's reason enough for Washington to enact a permanent ban.
Don't tax Internet access - Los Angeles Times
http://www.latimes.com/news/printedition/asection/la-ed-moratorium8oct08,1,4443110.story?coll=la-news-a_section&ctrack=1&cset=true
Here they go again -- tax-happy Democrats are running out of ways to tax
you -- so they are turning to the Internet.
Last week, Senate Democrats effectively killed a bill that would
permanently hold off taxes on your Internet access -- a ban that expires
on November 1.
Democrats said "further negotiations are warranted." Further
negotiations on what? Apparently your taxes just aren't high enough.
Make no mistake -- Democrats want to construct brand new taxes on
Internet access for Americans -- a place that currently has no taxes.
Take action today to stop the Democrats' plans:
Sign up at www.CostOfDemocrats.com to receive updates on the outrageous
actions by Senate Democrats and what those actions will cost you.
Forward this email to 5 friends to help expose the Senate Democrats for
what they really are -- a liberal, tax-and-spend majority that will do
everything in its power to force their extreme views on the American
people.
Fight back! Sign Senate Republican Leader Mitch McConnell's petition to
keep the Internet tax free.
Imagine, every time you need to find directions on the Internet, order a
DVD, shop for your groceries, or pay a bill online, you could be charged
if the Democrats have their way.
This is Democrats latest attempt to massively increase taxes. The World
Wide Web has greatly enhanced our country's ability to connect and get
the word out, and Democrats want you to pay for that freedom.
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