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.

Choice quote...

[Ratface]

"This bill would broaden access to the Internet, expand consumer choice, promote certainty and growth in the IT sector of our economy and encourage the deployment of broadband services at lower prices. " ... so how come a bill that ensures that the Internet will stay as untaxed as it already is (for Americans at least), manages to promote all those great changes huh?

Oh well, can't complain too much, at least it's positive news. I just though it made good spin! :-D

Re:Choice quote...

[Talthane]

Because if you're a company that has something to do with internet services, and there were rumours of a 'net tax, you'd probably stop some of your initiatives and hoard money as a contingency fund.

When the quote says 'certainty', that means a lot to any risk-conscious company. If you have a risk mitigated or removed, you feel safer in going ahead with an initiative like setting up broadband, etc.

Finally, a step in the right direction!

[goldspider]

Can you remember the last time that Congress actually prohibited a form of taxation? In a country where we roughly pay an average of 1/3 of our salaries to variuos governmental entities, I welcome anything that potentially keeps money in my pocket.

Of course, socialists and Bush-bashers are going to hate this on principal, but I think most of us can see the positive conotations such a law has.

Re:Finally, a step in the right direction!

[mental_telepathy]

I welcome anything that potentially keeps money in my pocket

You're in luck. I think "Anything to keep money in my pocket" is the Bush campaign slogan for '04.

The reality of a law like this is that it's a PR move. The only thing that can legitmately reduce the tax burden is a cut in spending. Trust me, you'll end up paying that Bush deficit eventually, no matter how sweet a nice fat refund check is now.

You: Yay! Not Internet Tax
Government: Your Walrus pacifier tax is due.

Re:Isn't this a state thing?

[I8TheWorm]

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

missed opportunity on SPAM fight

[scsirob]

As much as I'd hate to see internet tax, it might be a mechanism to fight SPAM. Introducing a tax of 1 penny for each e-mail sent would set the average user back about $1 - $5 a month.

SPAM houses would pay through the nose... I thin this would be a small investment for all of us to make junk mail less profitable.

Is VoIP Unique to the Internet?

[Mikkeles]

I wonder how this will affect Vonage 's fight with Minnesota over the proposal to tax VoIP?