Ban on Internet Access Tax Dies in Senate

Justen writes "The Associated Press is reporting (via Yahoo! News) that the bill to permanently ban federal and state taxes on the Internet, via the Internet Tax Freedom Act, has died in the Senate. 'The problem arose over the definition of 'Internet access' -- services that connect consumers to the Internet. The strongest proponents for a permanent ban want to make sure that all access technologies -- from phone lines to DSL to cable modems -- get equal freedom from taxation.'"

Comments

Re:why a difference between net and non-net goods?

[Motherfucking Shit]

I know its unpopular, but shouldnt internet shoping and what not be taxed?

It already is, just the same as mail-order shopping (I'm posting from a US perspective, by your use of "bloody" I can't tell whether you are or not ;)

In the US, if you order something from a company which has a physical presence in your own state, you must pay state sales tax. This is true whether the purchase is made in a brick-and-mortar store, online, or via mail order catalog.

If you order something from a company which does not have a physical presence in your state, you are not required to pay sales tax to either your own home state or to the state of the purchase. In many states, you're supposed to pay a "use tax" or something similar in your home state. In practice, hardly anyone does this except in the case of significant purchases. Very, very few people even know that the "use tax" (or whatever it's called in your state) exists to begin with.

In any case, that isn't what this bill is about. It's about taxes on internet service, not internet shopping.