House Passes Internet Tax Ban

computerlady writes "InfoWorld reports that the House of Representatives today voted a permanent ban on 'levying taxes unique to the Internet.' The Internet Tax Nondiscrimination Act would permanently prohibit taxing jurisdictions in the U.S. from levying such taxes as e-mail taxes, bandwidth taxes, or bit taxes. To become law, the bill would have to pass the U.S. Senate and be signed by President Bush. The Senate Commerce, Science and Transportation Committee approved its version of the bill July 31, and its next stop is the full Senate."

Comments

States Rights

[Dancin_Santa]

Don't mean to be a party pooper, but your state is still able to charge you a sales tax on all catalog and web transactions.

No one will come knock on your door if you don't pay, but it's nice to have that weigh on your mind, you tax-evading thief.

Re:States Rights

[freeefalln]

'levying taxes unique to the Internet.' The

Unique to the internet. that is whats important here. we all know that sales tax is long overdue on the internet, it will come into effect sooner or later.

Re:States Rights

[princewally]

Also, there has been a ban on interstate sales tax in many jurisdictions for many, many years. If you order something by mail from Oregon and you live in New Jersey, you don't pay sales tax.

In most states, you do have to pay sales tax if you order something from another state. The company isn't required to charge the tax. You are supposed to get an additional form from the state and declare your purchases yourself.

Re:Isn't this a state thing?

[I8TheWorm]

Um.... since the Uniform Commercial Code was enacted?

Prohibits taxing access, not e-commerce

[wayward_son]

This bill prohibits the taxing of the access to the internet, not sales taxes on goods purchased over the internet.

A good law. I think the politicians should keep their grubby hands off internet access.

Re:Finally, a step in the right direction!

[King Babar]

1/3? I don't know what tax bracket you're in, but after Fed, SS, Medicare, State, Local, property tax, Sales tax, auto registration, and other various fees, most of us in the U.S. pay over 50% of our salaries to the gov.

In a word, no we don't. Not if by "most of us" you mean "most US taxpayers". For a decently readable account of this and other economic "facts", there's a piece in the NY Times (free registration blah blah).

Re:Finally, a step in the right direction!

[guacamolefoo]

Can you remember the last time that Congress actually prohibited a form of taxation?

Poll tax. The Twenty Fourth Amendment was passed by Congress on August 27, 1962, and it was ratified by the several States in early 1964.

GF.