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Possible Taxes For Broadband Users

Morganis101 writes "CNET News reports that some broadband users might have to endure new universal service taxes. From the article: 'The suggestions came as lawmakers started debating changes to the Telecommunications Act of 1996, which created the framework for the Universal Service Fund. The USF should continue to be industry funded, but the base of contributors should be expanded to all providers of two-way communications, regardless of technology used, to ensure competitive neutrality, a bipartisan coalition of rural legislators said in a June 28 letter to the U.S. House of Representatives Energy and Commerce Committee, which will be drafting the rewrites. That means companies providing broadband services such as VoIP over telephone wires would also have to pay into the fund.'"

262 comments

  1. I for one... by tekiegreg · · Score: 2, Insightful

    Would welcome this with some skepticism and hope that the revenues from such a tax might go to benefit the online community (less Spam, Phishers, Identity thieves, etc). Then I remember, U.S. government, War in Iraq....*sigh* pardon me for being so naive...

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    1. Re:I for one... by ConceptJunkie · · Score: 3, Insightful

      The funny thing is that war in Iraq is peanuts compared to all the other pork barrel stuff we the people subsidize.

      $200 billion is some real money, but compared to trillions a year, it's chump change.

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    2. Re:I for one... by modecx · · Score: 1

      I think of this, and I wonder where there is a suitable body of water to throw our routers into.

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    3. Re:I for one... by walt-sjc · · Score: 3, Insightful

      Um, 40% of the USF is marked for the E-Rate program which is littered with mismangement and fraud. The LAST thing they need is more money.
      CNet had an article a while back about it.

    4. Re:I for one... by ssimontis · · Score: 1

      Compare that to all the money the government wastes funding crap that we don't need. Who knows how much is being lost because some idiot politician can't do a simple project? Everyone screws up at some point, but it seems like politicians do it a lot more.

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    5. Re:I for one... by Anonymous Coward · · Score: 0

      Perhaps a pool?

    6. Re:I for one... by walt-sjc · · Score: 1

      Here is a better article about the USF problem... Google finds all... Time to fire up that letter writing campaign asking that the USF program be killed and not expanded.

    7. Re:I for one... by numbuscus · · Score: 1

      politician != bureaucrat

      one man's pork is another man's bread and butter.

    8. Re:I for one... by BJZQ8 · · Score: 1

      Exactly. The E-Rate program is rife with waste; and the "rural" people that are campaigning for it get a rediculously small part of the pie; most of the money goes to lining the pockets of billion-dollar district connectori, and filling rooms full of Cisco equipment that will never be used. The application procedure is a rediculous, multi-day joke, and an entire industry has grown up around consultants that will sort out the paper for a fee. The time to kill the program is NOW....replace it with a block grant, or, better yet, give everybody a small tax break. It fixes nothing, helps nothing, and in fact is a major impediment to new technology. Schools that could put their money towards fiber or wireless lines are instead shackled to ancient, slow, expensive T1 lines. Remove the government spider webs, and things would change, for the BETTER!

    9. Re:I for one... by serutan · · Score: 2, Interesting

      The money is suppoed to go into the Universal Service Fund, which (if you read the article you'd know) is used to help provide services to low income people, non-profits and so on. So it sort of does benefit the online community by including more people in it.

      However, I wish that if they want to do that sort of thing they would do it by increasing existing taxes and taking the money out of there, rather than creating a new tax mechanism with all its accompanying overhead, which eats into the money collected. We already have a vast army of people whose careers revolve entirely around taxation rather than productive work.

    10. Re:I for one... by pmazer · · Score: 1

      Because they have no incentive. "I messed up? Oh well, it wasn't MY money!"

    11. Re:I for one... by Anonymous Coward · · Score: 0

      Why would you welcome it? What possible reason is there to disincentivize broadband internet access?

  2. Oh my god... by Anonymous Coward · · Score: 3, Funny
    the state wants more money.

    I never could have anticipated this.

  3. Future speak by Hachey · · Score: 2, Insightful

    Anyone else notice all the 'future speak' in the article? Should, might, will, suggest? Politicians are fluent in the conditional tounge. I wouldn't worry about it.


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    1. Re:Future speak by MrCopilot · · Score: 1
      > "Anyone else notice all the 'future speak' in the article? Should, might, will, suggest? Politicians are fluent in the conditional tounge."

      Conditional Tounge had me searching through my wonk dictionary for a while.

      Perhaps you mean tongue.

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    2. Re:Future speak by MrCopilot · · Score: 1

      No response from the Wonkapedia (tm) either.

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    3. Re:Future speak by ConceptJunkie · · Score: 4, Interesting

      Yeah, but here's the context:

      We will need more taxes revenues to finance our spending like a drunken sailor. We should give you a justification for it, seeing as how we waste so much money, billions literally fall through the cracks. But we might be able to slip it in a way that you won't notice, like so many other taxes you pay... indirectly. If not and you complain, we will suggest that you are unpatriotic.

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    4. Re:Future speak by J'raxis · · Score: 1

      If they want to slip it in so you don't notice, they could always just increase this little tax a cent or two, or widen it to cover broadband -- after all, if our telephone users are still paying for a war that was over that was over 107 years ago, it's only fair that broadband users do, too!

    5. Re:Future speak by qw(name) · · Score: 1


      It reminds me of the email tax scare in the late-90s and early-00s.

  4. Taxation Without Reputation by Doc+Ruby · · Score: 2, Insightful

    Why should the richest people in America pay taxes, when they can just hire "personal Websters" to surf the Net for them, and pay their taxes out of their minimum wages? Or just save that extra markup by outsourcing the Internet work to India? All the government does is stop rich people from making money. Why should they pay for it, when they can pay much less in campaign bribes^Wcontributions, to keep the little people in line, at their own expense?

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    1. Re:Taxation Without Reputation by Anonymous Coward · · Score: 1, Funny

      I totally agree with this post. The rich pay way too much in taxes as it is. I know many people who make minimum wage, and don't have to pay any income taxes at all. How unfair that is.

      The poor probably use more taxpayer-funded services like welfare and foodstamps than the rich who can afford things on their own.

      As a fairly wealthy American, it kind of pisses me off that some poorer people expect the government to save them from their own mistakes and hand everything to them. It's time they start paying their fair share. Something like a flat tax that would even the burden out for everyone.

    2. Re:Taxation Without Reputation by Hex4def6 · · Score: 0, Offtopic

      "Taxation without Reputation"

      "Mind parse error. (R)etry (A)bort?"

    3. Re:Taxation Without Reputation by DeusExMalex · · Score: 1

      All the government does is stop rich people from making money.

      You've got to be kidding me. Taxes on luxuries like this (insert argument about internet connection being luxury or necessity here) are in no way a hinderance to the rich. The only people taxes hinder are the middle class and the poor becuase surprise! they can't afford to spend more.

    4. Re:Taxation Without Reputation by Doc+Ruby · · Score: 2, Insightful

      You must live in a Blue State, which pays more in taxes than it receives. Not a Red State, which gets that spending surplus at the expense of the Blue States. Or perhaps California Blue County. Or maybe you live in a Red County, which is why you're whining about paying taxes to support the government that protects and enables your wealth, instead of those poor people who get so little benefit from it. Oh, it's their fault they're poor - education and birth have nothing to do with the relative level of opportunities in this country. BTW, what did you spend your tax rebate on? Job-creating stocks in the market, or more gas for your SUV? Which was made by poor people, the oil for which gas was secured by poor people.

      No wonder you posted Anonymously. You know how expensive it is to keep your kind of class war masked, and how just furious you'd make Muffy if someone noticed your privilege showing.

      What pisses me off the most is how people like you are ruining the possibility of a national sales tax, to replace the ridiculously rigged income tax. Which would give us a chance to protect minimum survival expenses from taxation, while getting corporations and rich people like you and I to pay our share of the government that serves us. Instead of pounding poor people so hard that they become completely ungovernable, and take more than the little bit bled off for them today.

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    5. Re:Taxation Without Reputation by geekee · · Score: 2, Insightful

      " Why should the richest people in America pay taxes [nytimes.com], when they can just hire "personal Websters" to surf the Net for them, and pay their taxes out of their minimum wages [dol.gov]? Or just save that extra markup by outsourcing the Internet work to India? All the government does is stop rich people from making money. Why should they pay for it, when they can pay much less in campaign bribes^Wcontributions, to keep the little people in line, at their own expense?"

      Your sarcaastic commnent is bs. In fact the top half of taxpayers pay over 95% of the federal tax burden. Liberals like Wes Clark suggested a family of 4 making $50K or less should pay no taxes. Progressive taxes do hurt everyone, since they make it more difficult for productive people capable of generating wealth honestly to employ people and provide goods and services people want.
      BTW, there's a difference between revenue and profit. If you generate a million dollars in revenue, but spend $900K, to get it, and you get taxed on 1 million, your $100K profit turns into a massive loss after you pay several hundred thousand in taxes on it.

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    6. Re:Taxation Without Reputation by spisska · · Score: 1

      You had me until the bit about a national sales tax, but other than that, you're pretty spot on.

      The solution is a flat tax, not a sales tax. The difference is that with a flat tax, everyone pays a fixed rate (persons and companies) on income (profits), and the more you make, the more you pay. Simple and fair.

      Plus this does something to eliminate the real problem with US taxes, which isn't the amount a person has to pay but the fact that there's so much gamesmanship involved in taxes (plus the fact that a good accountant will save you far more than his/her bill by playing these games, but only if your income is large enough to support it).

      The problem with a sales tax has to do with relative tax burden rather than absolute. If you charge everyone a sales tax then those who can least afford to pay end up forking over a much greater portion of their income as tax than those who can most afford to pay -- if you're making minimum wage the tax on that bottle of milk is a much greater portion of your income than if you're making $100k per year.

      A sales tax is inherently regressive; a flat tax is, by definition, progressive.

    7. Re:Taxation Without Reputation by linguae · · Score: 1

      Why do we need everything taxed? Why should we need, or want, a national sales tax? For the federal government to grow bigger, fatter, and more inefficient? Just because the government thinks it can spend money better than individuals can? Sorry, I don't want socialism. And before you reply and say "What about the poor," there are many ways that the poor can be helped without the use of the welfare state. Have you researched the negative income tax, school vouchers, and some other methods that don't require heavy taxation and boatloads of government programs and intervention? Even though I'm not rich at all, I'm also strongly against heavy taxation for corporations and rich people, because I feel that it isn't right for the government to tax people higher percentages just because they're a corporation or they make more money.

      A big government ends up being more harmful to the people than it is helpful. Big government is expensive, inefficient, and interferes with individual freedom.

    8. Re:Taxation Without Reputation by sv0f · · Score: 1

      The solution is a flat tax, not a sales tax. The [...] more you make, the more you pay. Simple and fair.

      By this reasoning, any strictly monotonically increasing tax curve is fair. So why a linear tax? Why not a logarithmic tax? Or an exponential tax?

      A sales tax is inherently regressive; a flat tax is, by definition, progressive.

      This is a slogan and a false dichotomy, not a definition or logical deduction. Why not a trichotomy of taxation schemes: (1) regressive (sublinear, e.g., logarithmic), (2) flat (linear), and (3) progressive (superlinear, e.g., exponential)?

    9. Re:Taxation Without Reputation by Chris+Burke · · Score: 1

      You know how expensive it is to keep your kind of class war masked,

      The greatest accomplishment by the rich in the class war was to convince the lower classes that the class war doesn't exist.

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      The enemies of Democracy are
    10. Re:Taxation Without Reputation by Chris+Burke · · Score: 3, Informative

      We could argue about the merits of income tax versus sales tax; I worry about the implementation of a saes tax.

      But if you insist on an income tax, it must be a progressive one. And no, a flat tax is not progressive. By definition a tax is only progressive if the rate increases as your income increases. A flat tax is not progressive.

      Now the reason why a progressive income tax is essential to "fairness" is the very obvious fact that 25% of the income of a person barely making ends meat is much more significant -- read financially damaging -- than 25% of the income of a person who's biggest financial worry is whether they will be able to send all of their kids to Ivy League schools if they don't get scholarships. It is not "fair" at all to expect someone who can't afford medical care for their children to support society with the same contribution as a wealthy person.

      Flat tax sounds good on paper, so long as that paper has no figures representing reality and the difficulties faced by the poor. But the fact is that a flat tax necessarily means that the burden of supporting society is placed more heavily on the poor. A progressive tax attempts to alleviate this by taking more from those who can afford more. I pay a greater percentage in taxes than a lot of people, yet I consider this to be imminently fair. That's just my opinion. It isn't my opinion that flat taxes place a greater burden on lower income families though.

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      The enemies of Democracy are
    11. Re:Taxation Without Reputation by spisska · · Score: 1

      Why not a logarithmic tax? Or an exponential tax?

      Because if tax rates increase exponentially or logorithmically then top money earners will owe far more than they make. Not a particularly good way to motivate people to earn money, but an excellent motivation for people to launder money.

      The point of a flat tax is that if a US corporation knows it will have to pay x% of profits in tax, then there is much less administrative waste from them looking for loopholes, and much less administrative waste from government in legislating, auditing for, and subsequently abusing loopholes.

      Sure a company can monkey their records to make it appear they haven't actually made anything (and thus owe little tax), but how do you think several years of flat growth would affect the stock performacne?

      There is no sloganeering and no false dichotomy in the fact that a tax is either progressive (meaning the wealthy have a larger tax burden due to the fact that they have more to tax) or regressive (meaning the poor have a higher tax burden because a larger portion of their income has to go to taxes).

      As for as your trichotomy goes, that is what we have now -- the poor don't pay because they can't, the rich don't pay because they can sneak around it, and the rest of us who are in the middle end up paying for everything.

      This, obviously, is no solution

    12. Re:Taxation Without Reputation by uncqual · · Score: 1
      The greatest accomplishment by the rich in the class war was to convince the lower classes that the class war doesn't exist.

      The greatest accomplishment by the elite liberals in the class war was to convince the lower classes that class war does exist so they could leverage the votes of the supposed lower classes.

      There is no class war. A war implies that one party is trying to conquer another party -- oh, wait, I stand corrected -- the rich are a class specifically targeted by "lower classes" so I guess one side is waging a class war - just that the other side doesn't much care and may find it slightly amusing. Note that it would make no sense for the rich to target the lower classes - they have nothing the rich want except a willingness to work for a salary.

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    13. Re:Taxation Without Reputation by CommiePuddin · · Score: 1

      ...the income of a person who's biggest financial worry is whether they will be able to send all of their kids to Ivy League schools if they don't get scholarships.

      Mod this down if you want, but just a clarification post:

      Ivy League schools don't offer merit-based scholarships, only work study and need-based financial assistance.

      I understand the point you are trying to get across, and am not commenting on it, simply trying to clear up a commonly-held misconception.

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    14. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0

      A national sales tax is a terrible idea. Regressive taxes fall much harder on the poor than the rich. The easier way to fix problems is just make the ultra-rich pay the taxes they are supposed to.

    15. Re:Taxation Without Reputation by superpulpsicle · · Score: 1

      This is not about rich and poor. This is about paying unnecessary tax. Remember the Boston Tea Party followed by the American revolutionary war?

      The digital divide is pretty serious. There are alot of politicians in power who are non-technical and quite frankly want to spoil hi-tech for the next 200 years.

      It's not Americans vs the Brits anymore. These politicans would love to pass a broadband tax just for starters. After so many techies retiring after the .com boom, they have to be at least alittle jealous.

    16. Re:Taxation Without Reputation by Doc+Ruby · · Score: 4, Insightful

      Your tax breakdown is BS. Maybe you didn't read the link I posted, but the number of rich people who pay no taxes just increased to 115% in the past year alone. How do you explain that? Their productivity?

      Or some pedantic distinction between revenue and profit? What's your point? Corporations don't pay taxes on income, they pay it on profit. And anyone who's paying 90% of their income to make it is the kind of fool who makes $1M a year only by theft - and they don't pay taxes. Like those people paying no taxes, or the 50% of corporations which have paid no taxes since 1998. Where are you getting this "generating wealth honestly" BS?

      To be more precise about your BS talking point justifying the free ride you want out of the tax system: The top 50% had 86.2% of the income. Sure, they paid 96% of the taxes, on "only" 86% of the income. But the bottom 50% had and income under $29K. Consider the overhead we all must pay for food, shelter, energy, clothing, which comes out of that first $29K. After that, it's all Mercedes, beach houses, caviar... or rice & beans. Even if $20K is overhead, that remaining $9K ($600:month) at the bottom is being taxed at about the same rate as the remaining several million at the top. Especially when we're talking about the very top: the top 1% have about 125% the income of the bottom 50%.

      FWIW, I'll see your irrelevant "Wes Clark", and raise you the relevant Grover Norquist. Who hates taxes, but not as much as the government itself, the "beast" he hopes to "starve", "until it's small enough to drown in the bathtub". You're going to love that, when there's no government to tax you, but also nothing stopping corporations from ripping every cent out of your hide.

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    17. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      A sales tax is more fair than income: it allows savings to protect money from taxation, at least until later (during which time it can be invested). It's easier to collect: fewer collection points, with easier auditing, and better leverage by the threat of closing the business.

      Progressive taxes are considered more fair because they recognize that not all money is equally valuable to its possessor: the first $10K a year is almost certainly going to universal necessities, above $1M is almost certainly going to discretionary expenses. So a fair sales tax merely leaves fundamental needs untaxed. Raw food, uncut cloth, some minimum healthcare and primary shelter costs (established by economists per county/town), educational materials (notebooks, etc), daily public transportation: none of those retailers would collect sales tax. Equity transactions would pay a sharply lowered sales tax, to reflect their intangible nature, and the growth value of cycled transactions. But everything else would pay something like a 25% sales tax, shared among all enclosing jurisdictions. With a $12T economy, that's $3T, which is 15% higher than the current Federal budget. With no deficit, and equitable fees proportional to consumption, a pretty good measure of "how good you're doing" in our society primarily defined by consumerism. No reporting all your private transactions to the government, and living in fear of an invasive random audit. And a much lower cost of collection, and so simple that "gaming the system" is very difficult.

      The only thing I don't like about it is that Bush seems to like it. So I'm suspicious. There's some hidden flaw, like the rest of his tax BS that's committed us to $45T in debt right now, while starving agencies that keep his corporate cronies from really ripping us off. Or he's just going to screw it up, so no one will ever take it seriously. Aside from that skepticism, sales tax seems like the right model for collecting the money appropriate to how it moves around.

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    18. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0
      Why should the richest people in America pay taxes, ...

      You did read the part where they say:

      "Over all, the top 2 percent of earners, the 2.5 million filers with income of $200,000 or more, paid almost 27 cents in taxes for each dollar of income they reported in 2002, other I.R.S. data showed. This group accounted for 53.5 percent of the income tax paid by all Americans."

      But I guess that doesn't make very good headlines.

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    19. Re:Taxation Without Reputation by Stankatz · · Score: 1

      "Or maybe you live in a Red County, which is why you're whining about paying taxes to support the government that protects and enables your wealth...."

      Well, Mr. Bluestate, how exactly did the Iraq war protect and enable your wealth? How does all the billions of dollars in pork that goes into each federal budget protect and enable your wealth? Do the park benches or new sidewalks in a town in another state that you paid for because their representative wanted to get re-elected benefit you?

      Don't try to turn this into a "class war" debate. I can't stand it when you liberals support every new idiotic tax because you want to "stick it to those rich bastards." And might I remind you that those poor people you're so concerned about pay next to nothing in taxes, receive free medical care, and sometimes they even get a paycheck from the government for doing nothing.

    20. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      They have the need to work for whatever they can get from the rich. Who want them to work for practically nothing, and often get it.

      Really, what do you know of class, "elite liberals" (who try to give their money away, investing in a working society)? "Slightly amusing"? You really gave yourself away there. What, you're a college kid living off mommy's checkbook? Or a rich adult living off mommy's checkbook? Or just a poor person with delusions of grandeur, hoping to be rich "some day", so you don't want anyone blowing the game before you finally "strike it rich"? Look, I'm pretty rich. I was born kinda rich, and I made the most of my advantages to make myself a lot of money. The rich people I meet (and learned about in the international banking biz) are the least likely of any class to have made their own money through risk, toil or smarts. And they're all universally afraid of someone taking their money, especially the poorer people who outnumber them, who have such a disproportionately small share of the wealth. Now, I don't believe there's anything to gain from war, class or otherwise. But denying the ongoing class war in this country serves only to perpetuate it, to the benefit of the rich, and the occasional hypocritical leader of the poor who sells them out to the rich for their own enrichment. This nonsense about "elite liberals" is just a culture war cover for the class war that's keeping us all down. It harms even the rich, by depriving us of a more worthwhile society in which we could be living. So drop the talking points and open your eyes. Because when you don't know who's the sucker at the poker table, it's you.

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    21. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0

      They don't have to. All of the good Fellowships will pay your way at an Ivy League school.

    22. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      I guess you didn't read the part where the top 50% pay 96% of the taxes, on 86% of the income. Forget how easy it is to hide income when you're making a lot of it, compared to people with nothing to spend on accountants, lawyers, and shell corporations. That bottom 50% makes <$29K:year; just the overhead every American has to pay to live cuts into at least the $20K that accounts for tht 10% difference. The remaining $9K ($600:month) is taxed at about the same rate as the remaining millions of the top 50%. Hell, the top 1% makes 25% more than the bottom 50% makes.

      So try looking closer at those numbers you suggested. You'll see they don't add up, because they don't even mention the disparity in incomes. It's voodoo economics, the only kind we get when a Bush is running the show.

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    23. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      As I documented, the Federal pork is paid to the Red States at the expense of the Blue States. While Red Staters whine about taxes, and "welfare queens": they're the welfare states, on my tax dollar. As for Iraq, it has only cost me billions, and made me and my fortune less safe. Breeding terrorists, generating nothing but uncertainty, ignoring serious problems at home (the economy) and abroad (N. Korea, Afghanistan, Sudan, the list seems endless). Maybe if I were enough of a vampiric insider to have put all my money into Halliburton, when it was just a really risky asbestos liability, I'd be making as much as Cheney is denying.

      Who's turning it into a "class war"? Could it be all those Red Staters, whining about the "liberal elite" who are transferring all their tax money into subsidies in Midwest states? Or perhaps all the corporate welfare queens, whose socialist subsidies dwarf all the welfare, Medicare and food stamps ever given away?

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    24. Re:Taxation Without Reputation by Sheepdot · · Score: 1

      Not only that, but the biggest opposition to the national sales tax are the "corporate types" who get tax reductions (read: free money, because it's really the other half of your taxes they are reducing) for spending a few thousand and some elbow grease to build an inner-city flower garden.

      Bah, you call that charity? I call it worthless.

      A national sales tax, applied without prejudice on items other than food, would be nigh impossible for businesses to squirm out of.

      Unless, of course, they get to write off some of those taxes for gardening.

    25. Re:Taxation Without Reputation by linguae · · Score: 1

      Speaking as a libertarian whose not rich by any means, my problem with the "elite liberals" is that instead of the "elite liberals" wanting to give their money away as charity, they want to force everybody, especially the rich, to pay for the welfare state and other socialist programs, which are inefficient, perpetuate the cycle of poverty, and very expensive. In their efforts to create an egalitarian society (in which everybody has an equal outcome), they seem to support measures that infringe on the rights of individuals. The rich shouldn't have to pay a higher percentage of taxes than the poor; the rich doesn't even need these social programs, so why should the rich heavily finance wealth redistribution?

      Capitalism is like a racing match. You're going to have those who come in first, those who come in the middle, and those who come in last. Leftists (especially of the socialist/communist type) wants to guarantee that everybody comes in the same place, no matter how well (or badly) the contestants performed. Equality of outcome doesn't work in the real world. People should have equal opportunity and should have all of their liberties, but they shouldn't all be expected to turn out the same way. There will always be people who will have higher paying jobs, higher educations, higher quality of living, etc. Why should the janitor or burger flipper get paid as much as an engineer or doctor, or vice versa? Why should the welfare recipient and the rich maintain the same quality of living? I'll close with a quote from Milton Friedman, in Free to Choose:

      A society that puts equality--in the sense of equality of outcome--ahead of freedom will end up with neither equality nor freedom. The use of forcce to achieve equality will destroy freedom, and the force, introduced for good purposes, will end up in the hands of people who use it to promote their own interests.

      That's what happened to socialism and communism; the people thought that it would be an utopia, but it led to totalitarianism, terrible economies, and an even deeper divide of the poor and the rich, even though socialism and communism were all about "helping the poor" and "saving the proletariat," respecively. Now some of the remaining communist countries (like China) are adopting many capitalist ideas, while still enforcing totalitarian rule.

    26. Re:Taxation Without Reputation by uncqual · · Score: 1
      You seem to think you know a lot about me, without knowing a single thing about me. However, your assumptions about me are wrong on every count and your conclusions based on your assumptions are just as incorrect.

      I didn't have the luxury of being born to money as you did. I graduated from college with virtually no assets and have never borrowed a penny from anyone (except from Visa/MasterCard banks and American Express for less than 45 days - but that's just for convenience). I consider myself very lucky that my parents were able to afford to pay about half of my college expenses (although, this was only through careful and prudent planning on their part - planning that included frugal spending for many years to the point we never had a television set or a stereo and I don't recall us buying a single piece of new furniture except for one bed and a mattress or two) - although, if they had not been so responsible, it turns out the state would have pretty much paid for my education. I'm not rich by anyone's definition, but I've done well enough that I'm certainly not poor by anyone's definition either. I have no guilt about what I have and don't care what you have or what you do with it or if you are guilty about it - but please don't speak for me or expect me to participate in a scheme designed to assuage yourself of any guilt you may have.

      Unfortunately, I can't quite figure out what your point is since it reads more like a dailykos rant than a reasoned argument. Simply asserting that there is a class war doesn't make it so - if your assertion that there is a class war is based on assumptions as flawed as the assumptions you made about me, I can understand why you don't attempt to support your assertion.

      Although I couldn't care less if you keep all your money, give it all away, or something in between, I'm just a little curious - why are you still "pretty rich"? Given your attitude, it strikes me as a bit hypocritical to have hoarded your assets rather than to have utilized them to help end the alleged class war. And don't tell me how much you donate to good causes - it's easy to give away 100 million dollars when you have 1 billion, it's even easy to give away 995 million when you have 1 billion. What is much harder is giving away 10 thousand when you have 100 thousand. Sincerity of charity is best measured not by what one gives away but by what one is left with after giving the rest away.

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    27. Re:Taxation Without Reputation by Anonymous Coward · · Score: 1, Insightful

      This is why the flat tax is the solution. It cuts out all the tax shelters. As proposed by Forbes, any family making less than 40k would be tax free. Most people would end up paying the same and taxes would be simpler to figure out.

    28. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0

      So you think that instead of the white man's burden there's now a rich man's burden?

      I'm afraid you're behind the times. Your fellow pseudo-liberalism dementia sufferers who are more advanced have already shifted over to intelligent man's burden. I think they're trying to prevent those of us who are unfairly born smarter than the rest of you from learning anything in school, going to nice colleges, getting better jobs, and making more money. I guess it would deprive "challenged" and "oppressed" people of their rightful opportunity or something. Maybe if you hit people on the head until we're all equally able?

    29. Re:Taxation Without Reputation by Rotten168 · · Score: 1

      The only reason Red States get more than they paid in is because of progressive taxation. You're complaining about something your "side" supports.

    30. Re:Taxation Without Reputation by slavemowgli · · Score: 1

      Even if $20K is overhead, that remaining $9K ($600:month) at the bottom [...]

      Isn't that more like $750?

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    31. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0
      I guess you didn't read the part where the top 50% pay 96% of the taxes, ...

      You're complaining that the top 50% pay 96% of the taxes? Because they should be paying more? Because you're afraid somewhere, somehow, some "rich" person might not be paying enough?

      Damn, you're tough to please.

      PS: +2 points for blaming it all on Bush.

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    32. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      Progressive taxation is just the collection side. The reason they get more than they're worth is because their politicians bring in the pork. For the real insights, look at how the unfair redistribution of wealth to Red States exactly correlates with whether a state voted for Bush or Gore. Exactly. With a $2.5T expenditure, and Bush's tax cuts, financed by trillions in debt, Bush has created a tax system to subsidize the growth of his base, at the expense of his opponents.

      Spin all you want, but the complaint is not even with that socialist "from each according to their means, to each according to their need" principle that Bush's tax system applies in full execution. No, the complaint is about the lies and hypocrisy of "small government" Republicans, and their $2.5T subsidy package. Blue States vote for government to provide paid services. It's the Red States which whine about the tit they suck, always crying for more. It's time to wean them, if only to get them to stand up on their own, instead of dragging mommy down.

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    33. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      You're right. But it's not that different - $25:day, rather than $20, to spend on your kids, or save for a rainy day that wipes you out?

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    34. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      No, you Anonymous snot Coward, I'm complaining about "on 86% of the income". You're as bad a liar as is possible. If you can't read the second half of a sentence in bold type, then go fuck yourself.

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    35. Re:Taxation Without Reputation by Rotten168 · · Score: 1

      Progressive taxation is just the collection side. The reason they get more than they're worth is because their politicians bring in the pork. For the real insights, look at how the unfair redistribution of wealth to Red States exactly correlates with whether a state voted for Bush or Gore. Exactly. With a $2.5T expenditure, and Bush's tax cuts, financed by trillions in debt, Bush has created a tax system to subsidize the growth of his base, at the expense of his opponents.

      I believe that "blue states" still get more tax dollars per capita then "red states". The measurement the parent poster was citing was tax dollars back per tax dollars in. That is skewed because "blue states" often have higher incomes. Connecticut receives the least per dollar, but it's also the richest state in the country. And trust me, I dunno about red states but blue states throw most of what they get down the drain.

      Spin all you want, but the complaint is not even with that socialist "from each according to their means, to each according to their need" principle that Bush's tax system applies in full execution. No, the complaint is about the lies and hypocrisy of "small government" Republicans, and their $2.5T subsidy package.

      Many true conservatives aren't happy with the current republicans and feel they are trading tax dollars for votes. I suppose that include me.

      Blue States vote for government to provide paid services.

      Not quite, here in Boston they seem to vote for crappy services to provide inefficient unions with jobs at the rest of the citizen's expense.

    36. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      Voting for paid government services doesn't ensure they won't be crappy. But neither does paying for it: I see little service quality in America above "crappy". We don't have mechanisms here to improve service - even competition among big "competitive" service providers, like telcos, cable companies, and the customer service of any big company hasn't produced service other than crappy. But that's a little tweak. The problem we're talking about is Blue States paying for Red State services, while Red Staters moan about paying for them - so they don't, but are perfectly happy to consume them.

      You had 4 years watching Bush lie about "fiscal conservatism", blowing trillions, weren't happy, then voted for him anyway. Fiscal conservatism clearly isn't that important to you. It's clearly not important to most Americans, when they see that most of the money spent is someone else's, and take services, at any quality level, for granted.

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    37. Re:Taxation Without Reputation by falconwolf · · Score: 1

      As a fairly wealthy American, it kind of pisses me off that some poorer people expect the government to save them from their own mistakes and hand everything to them. It's time they start paying their fair share. Something like a flat tax that would even the burden out for everyone.

      Better yet get rid of income tax for individuals. Reduce the size of government to put it into the limits of the constitution then institute property tax, sales tax and user fees. For instance taxes on fuel, user fees, should be enough to pay for building and maintaining roads.

      As a fairly wealthy American, it kind of pisses me off that some poorer people expect the government to save them from their own mistakes and hand everything to them. It's time they start paying their fair share. Something like a flat tax that would even the burden out for everyone.

      It's not thier "fault" if someone is born to poor parents. Having said that by reducing taxes means more money is available for investing and creating new employment opportunities which can help those poor get out of the poor house.

      Falcon
    38. Re:Taxation Without Reputation by Mo+Bedda · · Score: 1

      I guess there are no "elite liberals" in the U.S. then. Because I haven't heard anyone arguing for a society in which everyone has an equal outcome.

      The rich should pay higher taxes because in general they get a greater percentage of the benefit from the authority of the state. They require the state to protect their wealth. They use the state to enhance their wealth. They tend to have far greater access, and far greater success in getting the state to serve their interests. The medicare drug benefit is a prime example of a "social program" which serves the rich at least as much as it serves the poor. The state is a prime method of redistributing wealth up the economic ladder as well as down.

      I feel given the power of the state, progressive taxation helps deter the rich from using the state as much. Cut the taxes on the rich, you get a pork bonanza. If you want a smaller state, make the people who do the most to create it pay for it. It is not "the poor" who are paying an army of lawyers and accountants to write volume upon volume of additional tax code and legislation.

      While Friedman has a point, I don't see modern socialist states attempting to equalize outcome, and much as raising the minimum outcome. Poverty and totalitarianism have existed much longer than modern economic or political theory. To suggest that poverty and totalitarianism are caused by any modern political or economic theory seems dishonest. All political and economic theories exist in some hypothetical utopian world. I believe that is just as true for capitalism and libertarianism. They are certainly not immune to poverty or totalitarianism.

    39. Re:Taxation Without Reputation by falconwolf · · Score: 1

      The solution is a flat tax, not a sales tax. The difference is that with a flat tax, everyone pays a fixed rate (persons and companies) on income (profits), and the more you make, the more you pay. Simple and fair.

      Plus this does something to eliminate the real problem with US taxes, which isn't the amount a person has to pay but the fact that there's so much gamesmanship involved in taxes (plus the fact that a good accountant will save you far more than his/her bill by playing these games, but only if your income is large enough to support it).

      The problem with a sales tax has to do with relative tax burden rather than absolute. If you charge everyone a sales tax then those who can least afford to pay end up forking over a much greater portion of their income as tax than those who can most afford to pay -- if you're making minimum wage the tax on that bottle of milk is a much greater portion of your income than if you're making $100k per year.

      The real problem isn't so much with taxes as it is what causes the demand for those taxes. Reduce government by putting the limits on government that were set in the USA Constitution. Then the income tax at the federal level could be abolished and replaced with property and sales taxes as well as user fees. An example of a user fee is a tax on fuel, the more you drive, use the roads, the more you pay then the income from it should be enough to pay for building and maintaining those roads. In answer to your comment about sale tax for milk, essential items don't need to be taxed, no place I've lived have had sales tax on food except maybe junk food, which isn't good for health anyway. For what is taxed the more you make the more you spend and therefore the more you pay in tax so it is progressive. If however you choose to invest more then you increase employment which decreases the "need" for welfare. The one place I wouldn't mind an income tax is on corporations. Because they offer limited liability to their shareholders, corporations should be made to pay. Even then though maybe those taxes should be at the state level.

      Falcon
    40. Re:Taxation Without Reputation by falconwolf · · Score: 1

      I'm also strongly against heavy taxation for corporations and rich people, because I feel that it isn't right for the government to tax people higher percentages just because they're a corporation or they make more money.

      I'm ambivalent about income tax except for corporations. Because corporations offer their shareholders limited liability they should be made to pay for it. The owners of proprietary businesses, eg a business owned by an individual, and general partnerships carry full liability ie they are financially liable for all costs a business incurs whereas a stockholder is only liable for the price they paid for the stock. If a corporation goes under all the shareholder loses is the stock, an owner or partner of a business however can loose everything they have.

      Falcon
    41. Re:Taxation Without Reputation by falconwolf · · Score: 1

      And might I remind you that those poor people you're so concerned about pay next to nothing in taxes, receive free medical care, and sometimes they even get a paycheck from the government for doing nothing.

      I'll start by saying I disagree with income tax. Now onto free medical care. I was one of those working poor barely making $250 a week before tax working fulltime, this was more than 10 years ago, and my employer didn't offer health insurance. I checked on getting my own but the cheapest cost I could find was $350 a month, more than a third of what I made. Then someone directed me to check with the county health department so I did, they told me I made too much to qualify for their insurance coverage. It didn't matter to me too much as I was working my way through college and knew I could make it through 'til I graduated and got a decent job. But the sad fact is that if you work unless your employer offers health insurance you don't qualify for "free medical care".

      Falcon

      Ooh, I'm also against socialized medicine. It's my belief that government drives up the price of health care.
    42. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0
      No, you Anonymous snot Coward, I'm complaining about "on 86% of the income".

      "on 86% of the income", so what?

      Are you trying to say that life is unfair? Yeah, I know that.

      Are you trying to say that rich people are greedy assholes? Yeah, well, I know a lot of poor, greedy assholes too.

      What is your problem?

    43. Re:Taxation Without Reputation by sv0f · · Score: 1

      As for as your trichotomy goes, that is what we have now -- the poor don't pay because they can't, the rich don't pay because they can sneak around it, and the rest of us who are in the middle end up paying for everything.

      The poor pay sales tax and those who work legally pay FICA. These are two of the most regressive taxes out there.

      [An aside: FICA puts the lie to those on the right who claim that 50% of wage earners pay no federal tax. As if income tax is the only federal tax?!]

      This, obviously, is no solution.

      If the rich sneak out of their tax obligations, then call for increased supervision and draconian penalties on tax evasion -- on par, say, with those we impose on drug users and copyright violators. This, obviously, is the solution.

      If you are middle class and you believe in a flat tax, I'm sorry, but you've been duped by the rich in another one of their sneaky schemes.

      Please do the math on what a family of four making $50,000 a year or less will pay under a 15% flat tax versus what they pay now. Then do the same pair of calculations for a family make $200,000 a year. Notice whose tax burden goes way up and whose way down? For reduced paperwork, you're willing to let this happen?

      And what makes you think the sneaky rich will not continue to find ways to avoid paying their fair share?

    44. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0

      He's probably posting anonymously because he doesn't want to get fucked by the pseudo-liberal "ideology patrol" here on /.

    45. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      I have a problem with Anonymous Cowards who repeat back the problems I identify, and try to make stupid excuses for them. You might be happy with rich people getting more from society than poor people, including subsidies. Maybe you're rich - certainly likely as you're posting on Slashdot, instead of working one of 3 jobs on a weekend. Or maybe you're just a poor asshole, intent on justifying a bad system that we have to pay for to prey on us. That's your problem - I don't mind pointing it out, even though it's terribly obvious.

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    46. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      Yeah, "pseudo-liberal", sometimes known as "sensible", which is why calling it "liberal" is fake. If you Anonymous rightwing Cowards can't even post from a Slashdot user ID, you obviously have no courage to back your rightwing convictions. You can't take the criticism, because you're a coward, envying an "ideology patrol" that exists only in your weak mind. Since you're so good at projection, afraid of your own shadow, why don't you go fuck yourself?

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    47. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      (I)gnore.

      Or consider what preceeds those rich people who get tax subsidies, even without asking.

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    48. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      We need taxes to pay for the services we consume. Corporations and rich people consume more services, benefit more from the system. So they pay more. It's also fair, because they have more discretionary income than poor people, are simply able to afford it. Of course that's the theory. In practice, they can also afford lawyers, accountants, and shell corporations to avoid taxes, so they do. Which is how they get people to read a Wikipedia entry about school vouchers, and believe that "These vouchers would be paid for using tax revenues" somehow means "no taxes".

      A sales tax makes all that less possible. And gets the government to stop invading our privacy, with documentation of our private transactions. It also would let us pay lower taxes: right now, the government collects much less than the $2.5T Bush is spending this year. But our $12T economy would collect $3T with a 25% sales tax. Which, as I point out, wouldn't tax "everything": necessities would be excluded. Without the rigging to favor the rich, the expensive reporting/rebate process, and the nightmare of taxpaying "amateurs" making mistakes that come back to haunt, years later.

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    49. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0

      Hi,

      First of all, I'm not the poster (or was it posters?) who was/were arguing with you, and I'm not right-wing. I don't think it's particularly an act of courage to post with a username, and I'm sure these same people discuss their ideas in person without "hiding behind AC," and are full well capable of taking the criticism. Furthermore, I don't think anyone envies an "ideology patrol," which seems like an especially sad and stupid thing. I'd imagine mostly they just resent it or are annoyed by it.

      Since you're so good at projection, afraid of your own shadow, why don't you go fuck yourself?

      You seem to have some serious problems, perhaps you should spend some time looking into them (rather than get mad at "shadows" on a website?).

    50. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      I don't know why you think making unsubstantiated claims about my "problems", from behind an anonymous ID that groups you with the rest of the blathering clowns making similarly moronic insults, has any credibility whatsoever. You're equally discredited in your false dichtomy between "courage" and anonymous posting. How about just acting like a real person, with the tiniest accountability for your opinions that Slashdot actually offers? Then maybe someone might care what you think.

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    51. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      Of course I'm kidding you: sarcasm. I don't know how you missed it, with terms like "bribes^Wcontributions", or suggestions that the rich pay "personal Websters" minimum wage, or outsource to India. Of course, it might not sound all that ridiculous to a rich person eager to shave more pennies off their obligations, regardless of the consequences...

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    52. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      Moderation +3
      60% Insightful
      20% Flamebait
      20% Underrated

      If you strip away all the American rightwingers' tricks, where they game the system, like TrollMod'ing down comments that make them look bad to suppress them, they go back to being a gang of stupid thugs who never get anything right. When they have to explain themselves, or actually debate, they look like a Bush in the headlights: so scared they can't even talk.

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    53. Re:Taxation Without Reputation by Anonymous Coward · · Score: 0

      Well the crappy services I see and get annoyed are generally road or transporation related and have nothing to do with telcoms or whatever.

    54. Re:Taxation Without Reputation by True+Grit · · Score: 1
      Hey, Doc,

      Was catching up after a long absence from /., found this thread and post. I'm curious if you've read about the "Fair Tax" proposal at http://fairtax.org? The reason I'm bringing it up is this part of your post:

      So a fair sales tax merely leaves fundamental needs untaxed. Raw food, uncut cloth, some minimum healthcare and primary shelter costs (established by economists per county/town), educational materials (notebooks, etc), daily public transportation: none of those retailers would collect sales tax. Equity transactions would pay a sharply lowered sales tax, to reflect their intangible nature, and the growth value of cycled transactions. But everything else would pay something like a 25% sales tax, shared among all enclosing jurisdictions. With a $12T economy, that's $3T, which is 15% higher than the current Federal budget.


      The "problem" I see with this is that its a complicated system, which means there is room for the wealthy or politically empowered to "game" the system. The Fair Tax idea eliminates this by taxing all *consumables* *equally*, then sending a refund back to *everyone* at the end of the year of an amount based on the government's calculation of a base annual cost of living. This plan would also have the effect of eliminating the need for social security and all the related welfare plans for the poor, because *everyone* gets that check at the end of the year, no matter how much or how little the person earned. The tax is wholly focused on consumption instead of income. Its very close to your idea of a sales tax, except for the part about the tax only applying to end-user consumables. While there is still room for the gaming of this system, the room is much smaller, and the fact is no matter which system we use, there will be folks trying to game it. With this idea, there seems to be less room to do so, since the political fights will be reduced to one, how is the annual CoL refund calculated, and two, how do we determine what is an "end-user consumable".

      As you, I believe nearly any sales/consumption system is better than any income system, but I wanted to make sure you had heard about the consumption variation on the sales tax idea, if you've not heard of it before, because it also manages to do several other things for us as well, eliminating the need for other financial programs like SS because their purpose is nicely wrapped into and handled by this idea, eliminating government agencies like the IRS, and simplifying much of the burden of paying taxes for most people and businesses (and eliminating it for many businesses and poor), as well as reducing the burden and complexity on the whole economy to the point where our economy would pick up many points of growth because of the increased efficiency. Its the only really interesting idea I've heard of for replacing the income tax.

      PS: I was trying to figure out how to send a private message since this thread is already a week old, and I saw your journal entry about the SlashStalker. lol! Strangely enough, I'm kinda jealous, after all, its usually the "celebrities" that attract the stalkers. :)
    55. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      I misstated my system when I said it's just for retail. Every item, except those few in the "basic necessities" category, is taxed when sold. Otherwise, the entire $12T economy isn't the taxable base from which to derive $3T:year at 25%. If I were an economist or politician, I would have just copy/pasted some existing policy paper into this little post window. Maybe I should improve my techniques :).

      I don't know why you think sales tax is complicated. Every purchased item is charged 25% (or something close, tweaked by actual economists yearly from actual budget data and ratified by Congress). There are a few exceptions: a category of "basics" defined that everyone consumes, regardless of "need". Raw food, raw cloth, cheapest primary housing, necessary energy, commuter public transport, dialtone, mandatory healthcare, public educational material (regents schoolbooks). Retailers of the "basic" category don't charge people the tax, as indicated in their accounting, but purchases beyond that low threshold all have the tax collected. And equity/securities traded pay a much smaller amount, like maybe 0.000001%, as they're traded back and forth so much, depending on a frictionless market.

      So it's very simple: when a person buys something, they pay the tax to the vendor. Unless they show their ID, validated against the gov't salestax database like a credit card, for purchases within their local "basic" expense threshold on items which have "discretionary" degrees of expense, like leaving all the lights on all the time, at the power company. People who forgo the subsidy can even skip that reporting step. The seller records the amounts of the transactions and the tax. The government collects from the sellers, a much smaller population than the whole populace, with remitters much easier to control when they evade taxes. So the government operation is basically a registry of sellers, a random audit sample of very simple books kept by professionals (maybe even with free government accounting software, or at least standards for SW). And something like the FBI for investigating fraud by the sellers.

      Compare that with the income tax. My sales tax is progressive, based on what people have to spend, not a guess from what they earn, to protect their ability to live. And its progressive nature serves only to protect everyone from basic expenses, which everyone has, no matter whether they have more to blow on fancy stuff like falling asleep with the TV on. Since it's totally universal, rich people can't complain that poor people are being subsidized by the tax system, because they're all getting the same exemption. And it's so simple that it costs a lot less to administer, with a lot closer to total efficiency in collections. And it doesn't monkey with "social engineering" to use the tax base to affect any behavior, except surviving on a minimum budget. Which is a nearly universally accepted principle.

      The "Fair Tax" system you mention is very close to mine (especially now that I've clarified the universal base for taxation). But I don't like the "rebate" system. For one, it's more complicated than merely not collecting the tax on some few items, which everyone knows up front. For another, it means the government holds people's money for a while, which poor people (for whom the rebate is designed) need more than everyone else. Even if the governmnet pays some kind of interest, that is forcing poor people into some kind of "savings investment plan". Which they might need, but that's up to them: they're free people, making their own decisions to sink or swim. A tax system that controls people's economics, rather than frees it to minimum intervention, contradicts both American liberty and capitalism. And should be much less necessary with my sales tax.

      Finally, my sales tax is mostly "stateless", totally so for people not claiming the "basics" exemption subsidies. Which means simplicity for administrative cost reduction, but also keeps the governement out of our business.

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    56. Re:Taxation Without Reputation by True+Grit · · Score: 1
      I don't know why you think sales tax is complicated.

      Not the tax, but how the category of "basic necessities" is determined and then managed. This is where I believe the FT idea is better because it doesn't create such a category of exceptions, because once you do create such a category, it'll be exploited, ie, "gamed" by the powerful. Granted, the FT system does have the "consumables" distinction, but defining what is consumed by individuals is a lot more straightforward than defining what is a "basic necessity", I believe.

      [The next three paragraphs basically apply to FT was well..]

      But I don't like the "rebate" system.

      I wouldn't either if it weren't for the fact that doing it this way obviates the need for SS, welfare, minimum wage rules, etc, etc. Without this, there will inevitably be a desire for more "handouts". By providing this "handout" (which of course really is their own money being returned to them) for everyone, we can eliminate the need or arguments for other welfare/security/support systems (health care will remain the other major problem of course).

      If doesn't have to be a once a year refund of course, it could done via electronic deposit per week or month. This would also be a good way for the government to encourage savings, as this is already close to the idea of private savings accounts.

      That's why its so interesting to me, in that it solves several different problems at once with a single, (relatively) simple, coherent system.

      We have to start with the simplest possible way, so the inevitable "tweaks" won't send us right back to the mess we're in
      :) I know. That is my argument for FT. For the average person and for our economy, it is simple to implement and adhere to, and it reduces the control points to just 2 things, the definition of what a consumable is (easier to define than what a necessity is), and how the minimum cost of living value is calculated, which is a single formula printable on just a few pages. Note how the calculation doesn't have to decide on what are necessities, only on what the base level of quality of life we expect, which itself is an inherently political thing. Meaning the political fight over this will be out in the open centered on just a handful of variables in that formula, rather than hidden in hundreds of pages of exceptions and special rules attached to our existing tax code. This reduces the level of gaming of the system a lot, but as we both realize, no system of wealth redistribution is immune to politics.

      But that's another rant for another day.

      Alas, there is never enough time to persue all the rants I'm interested in. :)
    57. Re:Taxation Without Reputation by Doc+Ruby · · Score: 1

      Defining an ongoing "minimum cost of living" sounds like it's much more complicated than defining a single set of "necessary living expenses". And the refund sounds much more complicated than merely not collecting taxes on the exempted products. And complicated definitions will be immediately abused, as well as the administration of the "rebatable" surplus tax.

      I don't think minimum wages and SS are affected by these fixes, though the problems they address are fixed more. SS is a required investment in a guaranteed payoff: it's similar to my sales tax, in that everyone must pay and receive it. But it ensures that old people have an income. Minimum wage is the opposite of price gouging, applied to labor. It doesn't so much fix any necessity of poor people to have money to spend, as it ensures that people can't compete on labor price to an unsupportable degree. It's like chip "dumping" rules: it prevents a competitor with deep pockets from competing their competition into nonexistence, then monopolizing the resulting cleared market. Both those other systems will be relieved of lots of stress, as will welfare. But with 35% of people "not participating in the labor market" (what we'd naively call "unemployed" if orwellian executives hadn't newspeaked that term), we'll still need to ensure some people just have money to live, that won't be taxed, so they won't become so desperate that they take and destroy even more than the little we're willing to give them.

      As for the political fight, that's impenetrable. Except to know that the simpler and most universal is a new system, the easier it will be to get it to replace the current unmanageable status quo, deeply invested in by the current corporate, labor and government stakeholders. That's why working it out in discussions among the people first is so important. Then we can set ourselves to figuring out how to get it past the gatekeepers.

      --

      --
      make install -not war

  5. All of us? by I+Killed+Your+Cat · · Score: 1

    How about broadband users that do not use it for telephony? Would we all get taxed just for the possiblity of such usage or will they actually check for VoIP?

    --
    I Killed Your Cat
    1. Re:All of us? by Goeland86 · · Score: 1

      But if they were to check for VoIP how would they do it? It'd be most likely be too much of a hassle for ISPs and government alike.

      No, most likely this is a measure that will eventually go back into the *AA's pockets.

      "You COULD be pirating us, therefore we're going to take your money away to create even more annoying anti-copy technologies!"

      --
      ---- I am certain of only one thing : I know nothing else.
  6. One radical thought by Anonymous Coward · · Score: 0

    How about instead we eliminate the tax completely? And use this as a starting point to start eliminating or reducing taxes in general?

    Of course, that would require us to live within our means. Silly me; but one can hope.

    It is a pity that the ultimate failure of our elected officials is the complete inability to reduce the amount of government spending. Congress likes to think it is powerful; yet this is one power that they don't seem to have.

  7. All Those War Taxes... by __aaclcg7560 · · Score: 4, Interesting

    We already got a telephone tax to fund the Spanish-American War (1898). I wouldn't be surprised if we have a broadband tax to fund the Iraqi-American War, too.

    1. Re:All Those War Taxes... by Anonymous Coward · · Score: 0

      That would be a great idea because lots of geeks complain that our current Armed Services is staffed with the poor and economically worse off.

      Since a broadband tax would affect mainly the wealthier population, now they can help the war effort financially.

      Then everybody will have made a contribution in fighting terror. Maybe that will stop the whining leftists screaming "draft".

    2. Re:All Those War Taxes... by Anonymous Coward · · Score: 0

      Yeah, it would be nice if the Universal Service Funds were actually going towards getting, you know, universal service. I think the USF should be suspended until the big companies start actually working to conquer the so-called "population density issue" (how many years after South Korea is New York getting 50mbit networking?)

    3. Re:All Those War Taxes... by TexNex · · Score: 1

      "We already got a telephone tax to fund the Spanish-American War (1898)" Of which there is a bill currently going through the house that aims to kill that tax or restructure it. It almost passed last time but, I believe the senate let it die.

    4. Re:All Those War Taxes... by user9918277462 · · Score: 1
      Ignoring the patent absurdities in your logic, you are arguing that a trivial tax on a rich person's internet usage is equivalent to a poor person sending their children overseas to fight and die?

      Wow.

    5. Re:All Those War Taxes... by __aaclcg7560 · · Score: 1

      Yeah... All those rich people and their T-1 connections.

      What should've happen before the Iraqi War got started is to have a $1/gallon gas tax to fund the war instead of borrowing from the grandkids. Of course, such a special tax would've stillborn the Iraqi War from the beginning.

  8. Logic? by BlackMesaLabs · · Score: 3, Insightful

    At what point does the government need money from me because I'm on a privately run network? The internet is not owned or operated or maintained by any nation, so I don't see why we should pay taxes. (exceptions of course being things like govt. websites, but they are a different case)

    1. Re:Logic? by ConceptJunkie · · Score: 4, Funny

      The logic is:

      They are the government. You have money. They want it.

      Everything else is just rationalization.

      --
      You are in a maze of twisty little passages, all alike.
    2. Re:Logic? by BlackMesaLabs · · Score: 1

      ahh so its a case of: 1)Watch people use internet 2)Try stopping them with laws and controls that don't end up working, turning the masses against you and also end up empowering super corporations such as MPAA and RIAA. Then try to tax them for it! 3)??? 4)Profit!

    3. Re:Logic? by Stiletto · · Score: 1

      No, no no! It's not that complicated at all. Grandparent poster had it just right.

      They are the government. You have money. They want it.

      This, and this alone, is the rationale behind just about every tax we have to pay today.

    4. Re:Logic? by SeventyBang · · Score: 1


      And we live in a plutocracy . Although those whose income is in the top 5% pay 50% of the income tax (collectively), the remainder still pay a higher percentage of their income to make up the remainder.

      There are two other things to remember:

      The Golden Rule: He|She who has the gold makes the rules.

      Life is like a sh%t sandwich. The more bread you have, the less sh%t you have to eat.

    5. Re:Logic? by geekee · · Score: 1

      "And we live in a plutocracy [reference.com]. Although those whose income is in the top 5% pay 50% of the income tax (collectively), the remainder still pay a higher percentage of their income to make up the remainder.

      There are two other things to remember:

      The Golden Rule: He|She who has the gold makes the rules."

      No, the people in the top tax bracket pay the greatest percentage of their income. The rule you're looking for is "democracy - 2 wolves and a lamb deciding what's for dinner.". The wealthy are in a minority. They only get favors for donations that politicians can keep under the radar.

      --
      Vote for Pedro
    6. Re:Logic? by Waffle+Iron · · Score: 1
      No, the people in the top tax bracket pay the greatest percentage of their income.

      However, the wealthiest people tend to take steps to avoid having increases in their net worth categorized as "income".

  9. Now by Chooche · · Score: 2, Funny

    I have to dl even more stuff just to get my $100 worth of cable fees!

  10. I already pay taxes for broadband by Teddy+Beartuzzi · · Score: 1

    They're called astronomical fees that I give to my cable company.

  11. What happened to the "no internet taxes" by Anonymous Coward · · Score: 0

    What happened to the "no internet taxes" moratorium?

  12. Money Wheel by Doc+Ruby · · Score: 2, Interesting

    Now that cable broadband is officially an info service, not a telecom service, its providers don't have to pay taxes. So of course its users have to pay taxes, or Congress won't be able to pass itself pay raises. The money's gotta come from somewhere - and it ain't comin' from campaign bribes^Wcontributions. That money is mostly spent on ads, run by cable companies.

    --

    --
    make install -not war

    1. Re:Money Wheel by millennial · · Score: 1

      Mod this guy up. I was about to say the same thing.
      See here.
      However, this probably only applies to internet-over-cable connections; VoIP, DSL, high-speed wireless, T1, OC-n lines and others might face the tax. However, would cable USERS face the tax since the cable OWNERS won't?

      --
      I am scientifically inaccurate.
    2. Re:Money Wheel by Doc+Ruby · · Score: 1

      Cable owners will probably collect the "tax" anyway, even when they don't pay it, "in anticipation of the regulations changing". Just like VoIP companies, and even traditional telcos, collect telecom taxes they don't have to pay. Then they keep the money, paying only a little percentage to their lawyers.

      --

      --
      make install -not war

  13. Interesting timing by mehtajr · · Score: 2, Insightful

    It's interesting timing that just this week the Supreme Court ruled for the FCC when they ruled that cable modems are not "telecommunications services, " but rather "information services." Might that exempt them from any proposed taxes?

    1. Re:Interesting timing by Anonymous Coward · · Score: 0

      Perhaps, but it'll affect your VoIP phone.

  14. im waiting for when they try and lock down the net by hilaryduff · · Score: 1

    then they`ll find out the true meaning of 'cyber-terrorism'

  15. Taxes are a cost of doing business by grahamsz · · Score: 1

    I cant get over that telcos are happy to pass them onto their consumers. That'd be like McDonalds adding 11c to your bigmac to pay for trash collection.

    It leads to very deceptive advertising which can't be good for the consumer. Comcast and T-Mobile need to pay those taxes themselves and put sticker prices up to compensate.

    While we are at it, this sort of thing is likely to push VoIP offshore. I rarely receive calls on VoIP so it wouldn't make much difference to me if it terminated in canada or mexico.

    Why not just have a flat tax for each phone number and roll all these other taxes & fees into it - surely that would hit everyone fairly.

    1. Re:Taxes are a cost of doing business by DogDude · · Score: 1

      I cant get over that telcos are happy to pass them onto their consumers. That'd be like McDonalds adding 11c to your bigmac to pay for trash collection.

      No, not really. This is a tax that is per person or per broadband user. It makes sense to pass it on, just like sales tax. If anything, the companies *should* pass this on to consumers so that the consumers can know what they're paying for. If the consumers are pissed about high prices for broadband, they should know why.

      --
      I don't respond to AC's.
    2. Re:Taxes are a cost of doing business by damiangerous · · Score: 2, Informative
      I cant get over that telcos are happy to pass them onto their consumers. That'd be like McDonalds adding 11c to your bigmac to pay for trash collection.

      You think they don't? The only difference between your phone/internet bill is that they let you know exactly how much the taxes are costing you. Like you said, taxes are a cost of doing business. Like any other cost of business you need to balance your prices to take them into account. If McDonalds suddenly had to start paying a 50 cent "junk food tax" on each burger sold, you know the price of Happy Meals would go up at least 50 cents (because there's also the administrative overhead of dealing with the new tax).

      It leads to very deceptive advertising which can't be good for the consumer. Comcast and T-Mobile need to pay those taxes themselves and put sticker prices up to compensate.

      Yes, the governments would love that. Hidden taxes are the best kind, bceause no one ever really notices how much they're paying. A tax increase rolled into your monthly rate would just be blamed on "those damn greedy cable companies raising rates again", while a brand new $5 "information services tax" on your bill would let you know exactly who's sucking more money from your pocket. They hate what the tel/cable compaines do, because you can see just how badly your local jurisdiction is screwing you.

    3. Re:Taxes are a cost of doing business by grahamsz · · Score: 1

      I'm in full favor of companies itemizing this on a bill, but it should be included in the advertised price.

      Telcos advertise artificially low prices, and then tack on the fees ON TOP.

      What's to stop Comcast advertising broadband for $10/month, and adding a $20 line fee and a $15 bandwidth usage assessment to each bill. Things are going to move in that direction unless regulation dictates that people have to advertise the true cost of the service.

  16. Isn't this already the case? by hazem · · Score: 1

    Here's my Qwest DSL bill (I'm cell-only and pay plenty of taxes there too):

    Qwest Choice DSL Standalone: $33.00
    Federal Universal Serv. Fund Private Line at 11.1%: $3.66

    1. Re:Isn't this already the case? by Inigo+Montoya · · Score: 1

      Yep. We (US residents) have been paying this for years already. It's not funded by the Telcos. It's directly paid for each month by you and me.

  17. Seriously? by Sir+Nickel+Deuce · · Score: 1

    Obviously, none of these legislators pay their own bills, or they'd realize how ridiculous the costs of broadband subscriptions already are.. :|

    1. Re:Seriously? by ConceptJunkie · · Score: 1

      None of these legislators have any connection with the average citizen. We need to amend the Constitution that all members of Congress, the Executive and Legislative branches do their own taxes, handle their own insurance and fill out all the government required paper work for their staff and/or employees.

      I bet we'd have a flat tax in 15 minutes.

      --
      You are in a maze of twisty little passages, all alike.
    2. Re:Seriously? by falconwolf · · Score: 1

      Obviously, none of these legislators pay their own bills, or they'd realize how ridiculous the costs of broadband subscriptions already are.. :|

      They get the tax payers to pay their bills, and after 10 years they get a great retirement plan that includes health care. If congress, the government, were to let the taxpayers have the same type of healthcare it would quickly go bankrupt.

      Falcon
  18. What's that? by derEikopf · · Score: 1

    Competitive neutrality? So they want to eliminate competition? Is it just me, or does this country move farther towards socialism every day?

    1. Re:What's that? by I+Killed+Your+Cat · · Score: 1

      "Farther relates to distance, further is a definition of degree. You should have said further"
      Jamal, Finding Forrester

      --
      I Killed Your Cat
    2. Re:What's that? by Anonymous Coward · · Score: 0

      Fascism, not socialism.

    3. Re:What's that? by Anonymous Coward · · Score: 0

      No, it's just you.

    4. Re:What's that? by Anonymous Coward · · Score: 0

      No - socialism is when the government takes 1/2 of your money and spends it on health care, education, housing for the homeless, roads, and the like.

      We have a system where they take 1/2 of your money and spend it on mass murder.

    5. Re:What's that? by Anonymous Coward · · Score: 0

      This is an attempt at humor, right?

  19. You can take your... by Anonymous Coward · · Score: 0

    You can take your "broadband taxes" and shove them up your ASS!!!! I"M WATCHING TIVO!!!

  20. Taxation without Representation? by Anonymous Coward · · Score: 2, Interesting

    How can something the government does not provide, aid, or own be taxed? If these taxes go towards better service, faster connections or hell, even free broadband for underpriveledged areas then I see no problem. If this tax goes towards anything other than the service that is BEING taxed then maybe its time for a tea party.

    1. Re:Taxation without Representation? by bersl2 · · Score: 3, Funny

      If this tax goes towards anything other than the service that is BEING taxed then maybe its time for a tea party.

      Yeah, let's throw all our routing equipment into the nearest body of water! That'll show 'em!

    2. Re:Taxation without Representation? by deanoaz · · Score: 1

      Governments typically grant access to rights-of-way for cable companies. The also typically decide which company gets to service which areas. In some cases the local government actually owns some of the cable that is used.

      Government's view is that these things make the cable companies a set of small government-granted monopolies over specific areas. Therefore it is the government's view that cable operators should be regulated, and taxed, as government sees fit.

      "Most people are willing to pay more to be amused than to be educated." - Robert C. Savage

      --
      If 'the people' in Amendment 2 are 'the state' then Amendments 1, 2, 4, 9, and 10 benefit the state, not you.
    3. Re:Taxation without Representation? by Cyno · · Score: 1

      how about let's throw all their router equipment into the nearest body of water..

    4. Re:Taxation without Representation? by cecil36 · · Score: 1

      If you want a 'Cisco tea party', you would need to throw the telco's routing equipment into the water.

      I agree that money from this tax should be invested back into the infrastructure to extend broadband services to rural parts and in turn, the VoIP companies that acquire new potential customers would then pay in the money to improve the QoS in the rural parts (i.e. bigger downstream/upstream pipe).

    5. Re:Taxation without Representation? by falconwolf · · Score: 1

      How can something the government does not provide, aid, or own be taxed? If these taxes go towards better service, faster connections or hell, even free broadband for underpriveledged areas then I see no problem. If this tax goes towards anything other than the service that is BEING taxed then maybe its time for a tea party.

      The tyme for a tea party like in Boston as already gone by.

      "From time to time, the tree of liberty must be watered with the blood of tyrants and patriots"
      Tomas Jefferson

      Falcon
  21. We already got a telecommunications tax in Canada by krunchyfrog · · Score: 0

    It's the CRTC. You pay it on the phone, internet, tv, cell, pager.. Not sure about satellite radio (xm radio), but I wouldn't be surprised.

    --
    printf($randomline(sigs.txt) \n "-- "$randomline(authors.txt));
    -- myself
  22. Shh by Anonymous Coward · · Score: 0
    ....everyone just nod your head and agree.

    If we fight, they might decide to tax all types of porn at even higher rates. I'm poor as it is what with buying all the porn.

  23. Are they really? by grahamsz · · Score: 1

    I have a premium (3Mb/1Mb static ip) broadband connection and it costs me only $58/mo.

    Which means it's less than I spend on electricity, water, car payments, insurance... I know that I use my broadband a lot more than I use my car, or my sprinkler system.

    In my case it avoids me having a 40mi round-trip commute to work each day, which probably almost pays for it.

    It'd be nice if it were cheaper, but to be fair it's one of the more reasonable bills i get each month.

  24. thats what happens when you are 7 trillion in debt by Anonymous Coward · · Score: 0


    you have to pay it back somehow and taxes is the only way

    even entire state goverments in USA are going bankrupt, beginning of the end or have you a secret stash of cash when the chinese come knocking for their dues?

  25. To paraphrase George Orwell: by Dioscorea · · Score: 2, Interesting
    Towards the government I feel no scruples and would dodge paying the broadband tax if I could. Yet I would give my life for the Internet readily enough, if I thought it necessary. No one is patriotic about taxes.

    --George Orwell's Wartime Diary, 1940

    1. Re:To paraphrase George Orwell: by MightyMartian · · Score: 1

      Whether people are patriotic about taxes or not, they are required in any complex society. Dodging taxes isn't simply a one-fingered salute to government, it's really (intended or otherwise) a shot at society itself.

      --
      The world's burning. Moped Jesus spotted on I50. Details at 11.
  26. The rich are people too by Anonymous Coward · · Score: 0

    Please make sure that the rich are kept happy, for someday you too may be rich.

    That's what we're taught anyway.

    1. Re:The rich are people too by Doc+Ruby · · Score: 1

      I am rich, and I am happy. I'd be even happier if I paid only 25% of my expenses in taxes. It would cover even the ginormous $2.5T Federal bills, without debt, and 20% extra for state and local expenses. It would allow me to save money to defer taxes to when I can afford to spend it. It would allow my basic expenses to be spent tax-free, along with all my neighbors, no matter how poor they are. It would get the government off all our backs, eliminating the yearly reporting of our private transactions, and reduce the expensive, incompetent bureaucracy that pushes us around, threatening even the innocent with expensive, disruptive investigations. Sales tax is better for the people than income tax, which is better for government. Better for bad government, anyway, which the people hate. Except the rich people who it serves.

      --

      --
      make install -not war

  27. What do we get? by secondsun · · Score: 1

    What do we, the citizens get from this tax? Any nice services (I really wouldn't mind getting broadband offered in my area[read south south Georgia]), special protections (such as universal data storage), new projects/R&D would all be nice and reasonable outcomes for this tax.

    However I live in America, rural America to be precise. The only thing I expect to see is a few dollars less and another thing to bitch about.

    --
    There is nothing wrong with being gay. It's getting caught where the trouble lies.
    1. Re:What do we get? by EEBaum · · Score: 1

      You get your stuff not seized by the government.

      --
      -- I prefer the term "karma escort."
    2. Re:What do we get? by Anonymous Coward · · Score: 0


      You get a war in Iraq at the low low bargain price of 1 billion dollars a month and Cheney/Bush and the rest of the traitors get new yachts and their families get to live in absolute luxury for the rest of their lives, too bad for you

      http://www.costofwar.com/

  28. Neutrality? Of what? by TimmyDee · · Score: 1

    My question is, what sort of neutrality are we seeking here? "All providers of two-way communications." I fail to see how your internet service and your phone service are sufficiently similar. Maybe they should charge Motorola that tax for selling FRS radios. (sarcasm intended)

    --
    Per Square Mile, a blog about density
  29. Makes me glad... by soft_guy · · Score: 4, Funny

    ...that I'm using my neighbors WiFi network.

    Network name: Linksys
    No wep key...

    Woo hoo! No cable fees for soft_guy!

    --
    Avoid Missing Ball for High Score
  30. Why only Broadband? by SkiifGeek · · Score: 2, Funny

    Surely if they ever were going to introduce taxes, they could introduce a proportional tax, linked to the network connection speed, and apply it across the board. Someone on a 14.4 connection might get a fraction of a cent tax on their connection, while someone on more bandwidth than they know what to do with will be taxed accordingly.

    If it was possible to ensure that these taxes would be reinvested back into improving infrastructure and subsidising broadband rollout it could be palatable for American users. Essentially the early adopters / massive bandwidth capacity users subsidise the efforts to bring more users up to their standard of connectivity.

    1. Re:Why only Broadband? by J'raxis · · Score: 1

      It'd make more sense (and probably be a lot easier to quantify, and therefore enforce, and be a lot more typical of the semantics of "proportional" in tax terms) to make it simply proportional to the price of the service, e.g., a 1% added-on tax (like a sales tax).

      I'd especially like to see how this system would handle fairly when someone tries to connect and their speed gets downgraded due to network issues (say, a 56k modem handshake fscks up and you connect at 28.8, or congestion on your broadband is sporadically causing it to crawl). How would you handle a proportional tax with this in mind? Just tax them at the "advertised" rate? IOW, always end up overtaxing them, since network slowdowns are inevitable, from time to time, but OTOH your link never runs faster than its advertised rate.

      Perhaps it could be proportional to the total bandwidth they use in a billing period, but then again virtually no broadband users are billed by their bandwidth (unless they go over their monthly bandwidth cap, or whatever).

    2. Re:Why only Broadband? by tomhudson · · Score: 2, Interesting
      Its not going to matter in 5-10 years, as everyone will have their own wifi node and connect through local meshes to everyone else and say a big Fuck You to regulation.

      Look at the incentives:

      • Screws over ISPs (bypasses them)
      • Screws over Uncle Sam (can't have ISP collect tax)
      • Screws over RIAA (can't complain to your ISP)
      • Screws over MPAA (can't complain to your ISP)
      • Screws over DMCA, PATRIOT (no more takedown notices to ISPs)
      The Internet doesn't just route around damage - it also routes around unpopular policies.
    3. Re:Why only Broadband? by mysidia · · Score: 1

      Local wireless meshes may sound cool, but the technology isn't there for organizing them, the technology isn't there for making them fast, and the technology definitely isn't there for making them free and providing them as an alternative to having an ISP.

      We have wires for a reason, they are pretty much the fastest way to send data reliably over long distances. Passing messages across wireless meshes is a rather inefficient proposal.

      They would be good in dense areas, whereas everyone else who lives in non-densely populated areas with few internet users would be screwed and get no connection.

      • ISPs would still be needed to host your sites, provide DNS services, Mail services, etc. Novices would rely on them especially.
      • Why would Uncle Sam need to tax the ISP when he can tax your purchase of wireless equipment and require you to register and for manufacturers to include software in your equipment to report your taxable bandwidth usage?
      • Screws over users due to spam... can't complain to their ISP when spammers send their junk at you.
      • Screws over users... limited/no bandwidth/ultra-high latency to your pal across the world, due to no benefit for ISPs to provide you the wires to get there.
      • Screws over webmasters... can't get the content out, anywhere, because the world is full of local congestion and traffic takes forever to reach its destination. Kind of like Freenet... the only content you get to download, is whatever everyone else wants, I guess.
    4. Re:Why only Broadband? by vivian · · Score: 1

      Korea is already lightyears ahead of the US in terms of high speed broadband rollout.
      Adding such a speed based tax would actually hold back connection speeds, as consumers would be less reluctant to pay for relatively more expensive high speed broadband, and widen the gap between Korea and the rest of us

      What would make more sense is to make the tax inversely proportional, or flat as this means the slow speed connections are getting taxed relatively more per bit - thus encouraging people to move to higher speeds. Many of the costs of upgrading network infrastructure are fixed anyway. eg The cost of ripping up the road to lay copper vs fibre is still about the same - horrily expensive.

      What would make even more sense is no seperate tax at all - as the very administration of the tax will generate more wasted hours, paper and gnashing of teeth for everyone. Road users are alreasy paying taxes (ie. fuel and registration) for a lot of other things besides roads, so why not divert some of those taxes to broadband infrastructure, since its roads that will mostly be getting dug up anyway?
      They can mabey have a better chance of synchronising hole diggind to lay multiple services in the one pipe at the same time too, instead of doing them one after the other.

      Whatever happens, I sincerely hope that a seperate internet tax is not introduced because I can guarantee that within a year of the US adopting such a tax, us poor buggers down under will get it too. The Australian. government loves to follow the US and the UK's tax ideas.
      Eg. the city center congestion tax that they have become very interested in just after London started one - even though we have nothing like the traffic problems or population of London, not to mention completely inadequate public transport networks to give people a viable alternative of switching to commuting. Strangely enough, these issues never seem to come up before hand at elections, se we never actually get an option to vote for them.

      So lobby like hell to stop this one, because I dont want to see yet another stupid tax introduced here, just because the US or UK has a similar one.

    5. Re:Why only Broadband? by tomhudson · · Score: 1
      Okay, lets take these points 1 at a time:
      ISPs would still be needed to host your sites, provide DNS services, Mail services, etc. Novices would rely on them especially.
      Why? there's no reason we have to stick with the current dns solution exclusively. OpenDNS and Open NIC are examples, and over time we can evolve others. A lot of us host our own servers - that won't change, except that now we won't have to worry about our ISPs trying to prevent us from doing that, or charging more dineros.
      Why would Uncle Sam need to tax the ISP when he can tax your purchase of wireless equipment and require you to register and for manufacturers to include software in your equipment to report your taxable bandwidth usage?
      Flash the software in your equipment - problem solved. Besides, since you're in control, you can determine who you connect to - refuse to allow the devices to route the packets with a destination that matches Uncle Sam's "call-home" address, or purposefully poison your own or the groups' dns server so that "call-home" traffic goes to /dev/null
      Screws over users due to spam... can't complain to their ISP when spammers send their junk at you.
      Makes it harder for spammers to send junk to you - you have the whole chain from sender to recipient, and can blackhole a spammer much easier. Also, since everyone in the chain is acting like an ISP node, anyone blackholing the spammer protects everyone else downrange.
      Screws over users... limited/no bandwidth/ultra-high latency to your pal across the world, due to no benefit for ISPs to provide you the wires to get there.
      My guess - you didn't read the link to the wiki - some users will maintain wire lines and act as gateways for others, same as they do today.
      Screws over webmasters... can't get the content out, anywhere, because the world is full of local congestion and traffic takes forever to reach its destination. Kind of like Freenet... the only content you get to download, is whatever everyone else wants, I guess.
      Again, my guess is you didn't read the wiki. The more users in a mesh, the better the performance, sort of like bittorrent. Add in the more clued users running squid or other caching proxies and there's a good chance that a lot of your content will be available quicker.

      Besides, who gives a fuck about so-called "webmasters"? I mean, really - give a fuckhead a copy of Frontpage and he/she/it thinks they're the webs' gift from God.

      More than 99% of the so-called "content" on the web could disappear tomorrow, and people would be happier - no more "brochureware", for example. Look at how spam levels dropped when the .ru domains had their little outage. All those "nice phishers who just want to help you confirm your personal info" had to suck wind for a day.

      Its going to happen, so get used to it. We already have 54mbps wifi equipment - who's to say we won't have 1gbps wifi in a decade?

    6. Re:Why only Broadband? by Have+Blue · · Score: 1

      "Why should I bother to run a wireless node? I can just leech off my neighbors."

      "Why should I bother to run a wireless node? I'm paying for this line, I'm not giving it away to complete strangers."

      "Why should I bother to run a wireless node? As soon as some asshole tunneling through me starts pissing people off, I'll get caught in the crossfire."

      Just some of the many reasons this isn't gonna happen anytime soon.

    7. Re:Why only Broadband? by tomhudson · · Score: 1
      "Why should I bother to run a wireless node? I can just leech off my neighbors."

      "Why should I bother to run a wireless node? I'm paying for this line, I'm not giving it away to complete strangers."

      "Why should I bother to run a wireless node? As soon as some asshole tunneling through me starts pissing people off, I'll get caught in the crossfire."

      Just some of the many reasons this isn't gonna happen anytime soon.
      ... but it's already happening ... I found out from the wiki that there's even one in my own town, and its got several THOUSAND members/users. People *do* like to share. Also, its a good way to get to know people in your immediate vicinity, so they don't necessarily have to stay strangers.
    8. Re:Why only Broadband? by Drakonite · · Score: 1
      Just some of the many reasons this isn't gonna happen anytime soon.

      Last I checked it's already happening in lots of locations. I don't mean massive mesh networks as much as people (purposefully) providing free wi-fi access to anyone within range of their router.

      --
      Shoot Pixels, Not People!
    9. Re:Why only Broadband? by falconwolf · · Score: 1

      It'd make more sense (and probably be a lot easier to quantify, and therefore enforce, and be a lot more typical of the semantics of "proportional" in tax terms) to make it simply proportional to the price of the service, e.g., a 1% added-on tax (like a sales tax).

      Why tax at all? For what purpose? Is it to make it better? If so then the free market can do a better job. There is no other justifiable reason to tax the service, and even this isn't justifiable.

      Falcon
    10. Re:Why only Broadband? by falconwolf · · Score: 1

      They would be good in dense areas, whereas everyone else who lives in non-densely populated areas with few internet users would be screwed and get no connection.

      Many rural areas know about this, because there's a low density and therefore not enough people the cost are prohibitive to put in either dsl or cable. The only thing left currently is satellite however it carries a relatively high cost for setup then in actual use there's the latency delay in going up to the satellite then back down. Also, though I don't know if it has changed or not, but it was very asyncronous with upload speeds being a lot slower than download speeds. Normally these may not matter much when just surfing but for video conferencing, moving large files, and such it gets to be a bigger headache.

      Falcon
    11. Re:Why only Broadband? by falconwolf · · Score: 1

      What would make more sense is to make the tax inversely proportional, or flat as this means the slow speed connections are getting taxed relatively more per bit - thus encouraging people to move to higher speeds. Many of the costs of upgrading network infrastructure are fixed anyway. eg The cost of ripping up the road to lay copper vs fibre is still about the same - horrily expensive.

      Why tax access at all?

      Falcon
    12. Re:Why only Broadband? by Spamalope · · Score: 1

      everyone will have their own wifi node and connect through local meshes [wikipedia.org] to everyone else and say a big Fuck You to regulation.

      Look at the incentives:

      * Screws over ISPs (bypasses them)

      The Internet doesn't just route around damage - it also routes around unpopular policies.


      They are the government. If too many bypass the taxes, the FCC will make your wireless mess illegal unless you pay.
      You will be assimilated.
    13. Re:Why only Broadband? by tomhudson · · Score: 1
      They are the government. If too many bypass the taxes, the FCC will make your wireless mess illegal unless you pay.
      You will be assimilated.
      They'd have to invade Canada again to do that. Better bring their mukluks.
  31. "Bipartisan." by J'raxis · · Score: 2, Funny

    "Bipartisan," I love that term. It basically means that tweedle-dee and tweedle-dum decided to conspire together on some new scheme so you have no way of opposing it.

    1. Re:"Bipartisan." by unitron · · Score: 1
      "Bipartisan," I love that term. It basically means that tweedle-dee and tweedle-dum decided to conspire together on some new scheme so you have no way of opposing it.

      Or as someone around here said a while back, the Republicans are the party of Evil and the Democrats are the party of Stupidity and when they co-operate it's to do something Evil and Stupid.

      --

      I see even classic Slashdot is now pretty much unusable on dial up anymore.

    2. Re:"Bipartisan." by Anonymous Coward · · Score: 0

      The Good-Cop, Bad-Cop Political system.

  32. Pfft by Anonymous Coward · · Score: 0

    This is straight up bull, so what I need to pay now 50 dollars in taxes to have my nextel phone? Maybe if they did not send our troops over there to fight a senseless war. I can't believe I need to pay more taxes because of these political mistakes with a president smarter than a average snail.

  33. Fair Enough...Just one thing... by monopole · · Score: 1

    In exchange, let's get universal broadband service via competitive ISPs and metropolitan WiFi utilities.

    I mean, thats the point of the bill, universal service :-)

  34. Take it all by nurb432 · · Score: 1

    Why not just tax us 100% and redistribute it all..

    So we can finally have the 2nd revolution and get this over with. Its long overdue.

    --
    ---- Booth was a patriot ----
    1. Re:Take it all by uncqual · · Score: 1

      Amen -- but let's do it before all the guns have been confiscated.

      --
      Why is there an "insightful" mod and why isn't it "-1"? If I wanted insight, I wouldn't be reading /.
    2. Re:Take it all by Anonymous Coward · · Score: 0

      You know it is interesting. The more of these types of reports I see about the government the more I think when a revolution will occur.

      Seriously, just about all power has been taken away from the people and given to the government who now a days refuse to listen to what the people want.

      Over decades the political system has been tainted by big business in order for them to get their ways. I'm sure this could be tracked back to the days of Rockefeller et. al. Instead of fighting with the government slowly take it over from the inside. We have PACs, special interest groups, etc.

      It seems the people in power have become unindated with the power that has been given to them. Most of the money comes from either family (inheirited) or from large corporations like MS, IBM, FORD, etc.

      I'm sure we'll see a slew of new bills being passed, and old laws being over turned with this new justice spot open.

      Our country is going to hell in a hand basket. Someone get a beer and a lawn chair we'll watch. I seriously think it will come to a huge protest by the people or some other event like it that will get the government to change how things are currently run. I may be conservative but I'm no idiot. All the checks and balances aren't currently working. The government was never supposed to be able to become one sided like it has. Until dems start taking seats back I think we'll see this downward spiral. There is a reason for 2 parties, it keeps things balanced. Although originally our government system was never supposed to have a set of 2 parties.

  35. The collective American Piggy Bank by silentbozo · · Score: 3, Insightful

    Just goes to show you that when our "elected representatives" look at us, the electorate, all they see are pockets to be picked. Whose idea was it to concentrate all that power in the hands of the very few, anyways?

    I already pay 7.65% for FICA (ie, Social Security), but were I to run my own business and turn a profit, I would have to pay double that, since I would be both employee and employer. Of the money I get after FICA, state and federal income taxes, and state mandated unemployment insurance, I then get charged 8.25% in sales taxes, surcharges and strange fees for my electric, water, gas, and telephone bills (including that 3% tax left over from the Spanish American war, which was well over a century ago), and twice a year, I have to fork over money to the local county for the privilege of owning tangible property.

    And for this I get: roads that still need fixing, bribery and corruption scandals that cost taxpayers money, ever-increasingly complex laws that require you to have a law degree just for self-defense, school districts that wail and complain that they need bond money, but then turn around and spend the money building shopping plazas on top of abandoned oil fields, leading to the project being declared unusable, and of course, the innumerable tax breaks and pork-barrel projects doled out by our collective congresscritters to keep their districts happy at the expense of the rest of the United States.

    It's a pity that elections couldn't take place in late April, say a week after tax day. Oh well, I might as well start working on my taxes for NEXT year...

    1. Re:The collective American Piggy Bank by Anonymous Coward · · Score: 0


      oh stop complaining serf
      now where is my champagne glass /D. Cheney

    2. Re:The collective American Piggy Bank by user32.ExitWindowsEx · · Score: 1

      remember...you really pay 15.3%, but you don't even see that other 7.65%...don't buy into that "your employer matches your 'contribution' to FICA" bullshit....you really pay all 15.3%.

      --
      "Evil will always triumph because good is dumb." -- Dark Helmet
    3. Re:The collective American Piggy Bank by Eric+S+Raymond · · Score: 1

      And people thought http://en.wikipedia.org/wiki/Communism was bad, taxes are just a form of it.

      --
      Bypass Compulsory Web Registration -- http://bugmenot.com/
    4. Re:The collective American Piggy Bank by Anonymous Coward · · Score: 0

      I already pay 7.65% for FICA (ie, Social Security), ...I then get charged 8.25% in sales taxes,...

      Stop bitching! I live in Sweden and I get charged 33% for Social Security, my employer pays 50% for Social Security and then I get charged 25% in sales taxes. The situation is similar in other European countries.

      And did you know we pay $1,50 for gas? Per LITRE, that is. (0.25 gallons)

      So stop bitching will ya!

    5. Re:The collective American Piggy Bank by maraist · · Score: 1

      I don't know the situation in Sweeden, but it occurs to me the following:

      There are certain fixed expenses for any country no matter the size. If you publicly build a road, a court-house, etc. Then there is a minimum public cost. Thus the smaller the country, the greater the burden per-capita for such infrastructure.

      In the US, Social Security and infrastructure needs are relatively small portions of the tax pie (no more than 30% combined)

      The other issue is that things like social-security aren't really taxes, but social engineering. Basically a government is doing 3 things: 1) wealth-redistribution, giving poorer people a better deal than wealthy on retirement 2) forced savings (which runs at the cost of reduced GDP) which alleviates welfare on retirement 3) reducing inflation by removing the public's ability to spend on gambling institutions such as speculative financial markets and real-estate. The US, for example, requires S.S. dollars to go into US Treasuries (which of course is convinient for itself).

      As for gas tax, thank green-peace. Our taxed vice is smoking.

      On the one hand, you could argue that it's not fair for smaller countries, but you could always aggregate your infrastructure costs with neighboring countries. Otherwise, you're getting value for your high taxes. Surely not every dollar's worth, but definitely moreso than if you had no taxes at all (and thus no civil infrastructure).

      --
      -Michael
    6. Re:The collective American Piggy Bank by maraist · · Score: 1

      Just goes to show you that when our "elected representatives" look at us, the electorate, all they see are pockets to be picked. Whose idea was it to concentrate all that power in the hands of the very few, anyways?

      I dispise politicians just like I dispise lawyers; not the people, but in a manner similar to the movie "Dogma", where you know the friend sitting next to you will eventually become your mortal enemy.

      That being said. Lawyers and politicians are essentially performing a single duty, making visible gains for their client. Much like a corporate president or CEO, the person performing the duty is irrelevant, only the results they are able to achieve. Who-so-ever can achieve the greatest results will be put into the position. Obviously, those that are willing to take risks (e.g. avoid morality in so far as they don't get caught or more importantly bad-publicity), have an advantage over those that don't.. The optimal politician is one that is imoral, backstabbing, coniving, lieing, yet appears to be wholesome to the public.

      Most people that get in to politics are either idealists, or lobyists at heart. There is very little difference between an idealist and a lobyist.. They have a vision or a desire that they want to achieve at the cost of lesser important things. An abortion lobyist honestly believes their cause is more important than things such as fiscal viability. A bigotted lobyist honestly believes that suppressing deviant life-sytes is more important in the long run to their country than which country we're going to war with. As controvercial as a lobyists views are, they are the central point of their negotiations. What is an idealist if not someone that has a set of values that they hope to promote at the expense of things not part of their values?

      I like McCain because he seems to value meta-issues.. things you don't ledgislate on.. The particulars such as abortion, war, etc are topics to be individually debated using the framework of good moral conduct.. The outcome, therefore is less important that the restoration of legitimate debate (which has been absent in this country).

      Now with the positive and negatives of politics expressed, taxes lie at the heart. Politics unfortunately is the art of trade in peoples lives. It is inherently evil in my opinion for it commoditizes us in ways [evil] corporate America never could. The "I'll scratch your back if you scratch my back" is VERY important in a senatorial body. The cost of giving away something one's constituents don't want to give up (higher taxes, no new roads this year, nuclear waste in our back yards), but isn't likely to get one unelected, for something one personally needs or their constituency predominantly needs (such as war, no war, abortion, no abortion, hurricane-relief, etc). You strategize finding the key people that you need to make trades with to minimize your district's costs, while maximizing the probability of attaining both your and your disttricts goals (hopefully the two are compatible).

      This tit-for tat usually involves the following logical argument:

      Case 1:
      district 1: nominal services
      district 2: nominal services
      tax in each district: $100

      Case 2:
      district 1: high local services
      local tax: $50
      fed tax: $100
      district 2: low local services
      fed tax: $100

      district 1 looks bad for residents.

      Case 3:
      district 1: high service bundle1
      district 2: high service bundle2
      fed tax: $200

      Now both districts are relatively equally off, so residents can not complain that it was THEIR representative that is failing them.. Both have services to show to their locals. Everyone is sharing in the cost burden (though some districts will get more utility than others'). The politicians win all around.

      So case 3 almost alawys is favored.. So you're essentially LOOKING to add pork to ledgislation, because society is "better off" all around.. It's like the MS tax,, by having EVERYONE pay an extra $20 for the

      --
      -Michael
    7. Re:The collective American Piggy Bank by falconwolf · · Score: 1

      With all of these problems have you joined the Libertarian Party yet?

      Falcon
  36. Moronic subsidies for rural customers... by stuartkahler · · Score: 2, Insightful

    (sub)Urban America deserves subsidies from the rural folks to help offset the astronomical prices of land that we pay. Land in rural areas is as cheap as $2000/ acre vs $100000+ / acre in the suburbs alone. They can pay me my my share out of the USF until that runs out next week. We can work out a deal for the rest; maybe start with some loose country girls.

    1. Re:Moronic subsidies for rural customers... by KentoNET · · Score: 1

      Loose? What is this, a third-world country? Sheesh.

      --
      "You tried your best and failed miserably. The lesson is...never try. Heh!" -Homer
    2. Re:Moronic subsidies for rural customers... by fuck+technology · · Score: 0

      the average income among rural folks is lower. get out of the city and see some poverty for once you cheap bastard.

    3. Re:Moronic subsidies for rural customers... by stuartkahler · · Score: 1

      In the past 12 years, I lived 7 in central Illinois and 3 in Iowa. Not exactly Montana, but I've been out of the city quite a bit. Not that I have to leave the city to find working people who live in small, shitty houses and can barely afford anything beyond groceries and their rent/mortgage.

      My uncle is an engineer for an company that does defense work. He lives on a 4 acre property with a pond, nice 5 BR house, 2.5BA, 3 car garage 40 minutes outside Cedar Rapids, IA that cost him about $100k. He put up a $20k wind turbine for free electricity 6 months per year and his place still costs less than my 3BR, 2.5BA, 2car house on 8000 sq ft. > My inlaws have a house in the boonies just a little smaller than mine, on 10 acres 30 miles from Marion, IL, also with a pond for about 80k. The money they save living out in the country allows the two of them to own three decent cars and trade one of them in every year for a brand new one. Just. For. Fun.
      My grandparents (late 70s) live on a pretty meager income in a huge, 5BR, 1BA, 90yo, run down Sears Craftsman house out in the country, but their 70+ lakefront acres are worth millions now that the Minneapolis, 60 miles away, is expanding out their way and they just don't want to move. They'd be doing great if they didn't pay $10k per year in property taxes.
      Houses where I used to live in Champaign/Urbana (more like a suburban island), IL are very cheap (our old 2BR, 2car gar dump sold for $48k), and nice 3000 sq ft properties 10 measly miles out sell for $150-200k on several acres. My neighbor's sister (and family) moved from their $400k 1 BR dump in silicon valley to a $60k house in C-U that was better. They took a 50% pay cut, but their standard of living doubled. They no longer had a neighbor who owned a Ferrari, but at least they could finally afford to buy their first and second cars.
      I did some house shopping just 10 miles outside of Iowa City, IA and found new properties (3500 sqft, 2 story, 5BR, 4BA, 3car garage plus an unfinished daylite walkout basement on 2 acres with a pond, but no cable or DSL yet) for $200k that would cost me $550k+ here just in the Kansas City area. The house would have to appreciate $15-20k per year just to balance out the extra mortgage interest alone. That's a very bad investment.

      If you want to live in a dump, you can find properties in the country for $40k. Trailer homes the size of a common city apartment run around $20k. Minimal living in the city will start at $80k for a 1 BR place with bullet holes in the siding. Poor people don't need nearby Starbucks, Best Buy and Marshall Fields. They can get by reasonably fine on dialup. Poverty sucks no matter where you live, but poor goes a lot farther in the country than in the city. Actually having a good job out in the country goes a really long way farther than in the city.

      Most rural areas that are truly poor end up that way because they depend on a single industry/employer for most of the area's jobs (coal mining, for example). If that business lays off half it's workers, everyone is fairly screwed. The whole town's standard of living can go from Seattle to Detroit in a year. Good leadership becomes vital.

      Most country folk live there because there are huge, genuine advantages to living out in the middle of nowhere. It's not because they're ignorant of the *sarcasm* ease and glamour */sarcasm* of urban living. Groceries (for those who can't fill their pickup 6 times a year at Sam's Club), gas, electricity, and water cost a little more. Private schools for your kids cost a lot less, but are mandatory if you're sending them to college. Eating out, or getting car/home repairs cost less. Construction, landscaping, house cleaning, child care or other labor services are a lot less. Land is almost free. If they really need broadband via sattelite, they can get it for about $100/month instead of the $45 I pay in the city for cable modem. Rural areas already eat up a disproportionately high amount of federal tax dollars already, they don't need our telcom subsidies as well.

      It's not about how much you make, it's how much you can buy with it. Buying power scales up a lot faster in rural areas than in a city.

    4. Re:Moronic subsidies for rural customers... by stuartkahler · · Score: 1

      What is this, a third-world country?

      Not yet, but the current administration is working on it.

  37. Jebus by Anonymous Coward · · Score: 0

    I don't mind taxes. In fact, I support progressive taxation of income, despite the burden it places upon me. But what I don't support is everything being regressively taxed constantly by some part of the government. Restaurant tax, sales tax, gasoline tax, fees added onto utilities and telephone, property taxes, State lotteries, gift taxes, capital gains taxes, tolls, sin taxes, and basically everything else has some percentage tacked onto it.

    Seriously, just stop viewing every human endeavor as a source of income. If you can't balance your budgets with the money you already suck out of us on everything we want to do in our lives, then cut the spending or raise the income tax. Pick one. All of these add-on taxes are just mechanisms to avoid bumping the income tax by making average people pay. Either go with out, or stick with the progressive taxation. Life is already hard enough for those people in the lower tax brackets, without you making broadband Internet access more expensive for them.

  38. What does this fund, actually fund? by Jackie_Chan_Fan · · Score: 1

    Seriously what does it fund?

    There should be not tax on this shit. If our government wants to tax everything secretly, lets just send back our lame Bush tax cut.

    1. Re:What does this fund, actually fund? by Anonymous Coward · · Score: 0


      A War of choice ?

      oh and Cheney gets a bigger house

    2. Re:What does this fund, actually fund? by Secrity · · Score: 2, Interesting

      Some examples of what this tax has funded: It Puerto Rico, it was supposed to be used to wire 1,500 of Puerto Rico's schools for the Internet. In 2001, only nine schools had been wired. Auditors also found nearly $23 million in equipment that had never been installed in [Puerto Rican] schools, along with $3 million per month spent on high-speed Internet connections in schools that didn't even have PCs. In Chicago, about $8 million worth of equipment provided by SBC was never deployed in the city's public schools.

    3. Re:What does this fund, actually fund? by Alpha_Traveller · · Score: 1

      And let me guess..."Wired" meant one line came into the school and it's on the principal's secretary's desk.

      "Yay! It's Wired! The Puerto Ricans are Wired!"

      --
      "Love is like pi - natural, irrational, and very important." (Lisa Hoffman)
  39. Broadband taxes - why not just tax the entire PC. by Gandalf_the_Beardy · · Score: 0

    Instead of going for that connection which won't hoover up everybody just tax the PC at point of sale. That way you can get even more for those freeloading households that have more that one PC per net connection. http://www.theregister.co.uk/2005/03/03/pc_tax/ (The register) - like the TV licence wasn't foolish enough we can try the same for the PC....

  40. Re:In Soviet Russia... by Jackie_Chan_Fan · · Score: 1

    someone really needs to explain these "In soviet Russia..." jokes :) The only reference i can possibly imagine is Yackoff Smirnoff :)

  41. Here's what annoys me.... by exp(pi*sqrt(163)) · · Score: 1

    In most countries where I have talked about this subject, providers of services tell you how much the service is going to cost you. Sometimes it's tricky to work out the details but generally it's all there in the contract. In the US companies refuse to declare prices inclusive of tax. It's also hard to guess what taxes you're going to pay. (Do you know what all the taxes on your phone/DSL/mobile bill are?) So - if the government wants to levy a tax on broadband, I don't mind too much, it'll probably only be a few bucks a month. But what I do mind is that broadband providers will continue to claim one price and bill me for another. The same is of course true for just about any retail purchase in the US, but service bills seem to have a habit of collecting up far more unexpected taxes than just sales tax.

    --
    Doesn't it make you feel good to know that our freedoms are protected by politicans, lawyers and journalists.
  42. Woah by vlad_petric · · Score: 2, Funny

    I just realized - that guy has a national presence!!!

    --

    The Raven

    1. Re:Woah by saihung · · Score: 1

      Yah, but he's got crazy competition from some dude named NETGEAR.

  43. Re:We already got a telecommunications tax in Cana by tomhudson · · Score: 1
    Poster wrote:
    We already got a telecommunications tax in Canada

    It's the CRTC. You pay it on the phone, internet, tv, cell, pager.. Not sure about satellite radio (xm radio), but I wouldn't be surprised.
    The CRTC is no more a tax in Canada than the FCC is in the US - its not a tax, its a regulatory body.

    The applicable taxes are GST and HST/QST/PST (depending on which province you live in).

    The CRTC has said they will regulate the pricing of VoIP to allow for more competition (so the current incumbents can't shut out competitors). That's pretty much it. background story that explains it - just before the law was passed

    As you can see from this press release by one of the telco incumbents just after it passed, this is THE ONLY ASPECT of the Internet that the CRTC regulates.

    With today's CRTC decision, Canada becomes the only major industrialized country to regulate retail rates for Internet telephony. That is inconsistent with the CRTC's past decisions not to regulate Internet and wireless services, which today are highly competitive components of the telecommunications sector.
    There's a fundamental difference between regulating prices and adding an extra tax.
  44. VoIP vs. VoP2P by Skapare · · Score: 1

    One reason that a tax can be imposed on VoIP users is because there is a central entity that is being paid to provide a service. If we can get rid of that entity, we get rid of the tax (at least for the voice component). Unfortunately, as long as there are people using switched telephone only for voice, if you want to talk to those people, you have to go through some means to get out to that switched network. But for the ever increase numbers of people able to use voice over the internet, direct peer to peer communications is fully possible, as long as we have some means to find people. Eventually, just about all voice communication will go the way of the internet, so why not work out the means to make it all direct? I'd suggest something based on DNS to find people.

    Of course greedy politians will want to find some way to drain our wallets, so we'll eventually end up with a tax on internet connections, and even on packets sent (and maybe even on those received).

    And then there's all the voice spam we will get if we don't make it tight from the outset.

    --
    now we need to go OSS in diesel cars
  45. Re:thats what happens when you are 7 trillion in d by Jackie_Chan_Fan · · Score: 1

    Makes you wish we had some Liberals in office... They actually balance budgets!

    Keep spending Bush. Down with the country, up with Jesus :) We're going to sure as hell need him when our country is broke.

    Thank you republicans!

  46. Re:In Soviet Russia... by Anonymous Coward · · Score: 0

    You are correct. Fuller explanation at 3.4 on this page. Cut. Paste. Learn.

    http://en.wikipedia.org/wiki/Slashdot_subculture

  47. Re:thats what happens when you are 7 trillion in d by Chowderbags · · Score: 1

    We could tax till we're blue in the face, but it doesn't help if Congress constantly finds ways to spend the cash on pork barrel or politically correct projects, all while avoiding paying down the national debt. Even if we simply indexed government expandatures to inflation it would put us on stable financial footing fairly soon.

  48. what about cable... by ColdBoot · · Score: 1

    since cable has been determined to not be a telecommunications service, ought to be exempt, eh?

  49. Re: Better yet: by symbolic · · Score: 1


    Just stop using common utilities as a way to extract more money from taxpayers. Half my phone bill is taxes. A good portion of my power bill is taxes and other "fees". Now it looks like they're preparing to turn broadband into the same steaming pile of crap.

  50. Oblig. by Anonymous Coward · · Score: 0

    Homer: America, take a good look at your beloved candidates. They're nothing but hideous space reptiles!
    Kodos: It's true, we are aliens. But what are you going to do about it? It's a two-party system; you have to vote for one of us.
    Citizen: He's right! This is a two-party system!
    Another Citizen: Well, I believe I'll vote for a third-party candidate.
    Kang: Go ahead, throw your vote away!
    Kang and Kodos: MWAHAHAHAHAAAA!

  51. 911 by Anonymous Coward · · Score: 0

    I am against taxing broadband providers. The FCC is over stepping its bounds. However, if they do pursue this venture, then they should open up the 911 network for the VoIP users.

  52. Can't work; the Reps singning the letter know it by spisska · · Score: 2, Insightful

    I'm not one to bitch about the editing here, but this title really ought to have read: Possible Taxes for US Broadband Users.

    That having been said, the purpose of the USF was (is) to ensure that telecom companies extend coverage to sparsely populated areas rather than just staying in cities where they get far more uses per kilometer of cable, right?

    They can try to wrap this with libraries and schools, but those entities are funded through local and state governments. As far as healthcare goes, it seems the only thing the US government is interested in funding is marble paneling for the lobbies of Eli-Lily and Phizer.

    I guess my question is, how much new cable is actually being laid in rural America? Aren't the telcos much more focused on putting up cell towers and selling much more profitable wireless plans?

    What exactly is a provider of two-way communication? Does that mean that every web-site has to pay (since an http request and response is two-way)? Would it mean that Slashdot gets taxed but Drudge Report doesn't, because users can communicate with each other through the former?

    What about Skype? Does it mean I'll start getting a monthly bill for $0.00 (10.2 percent of what I pay) from Skype to cover this?

    What if, as a previous poster noted, I set up an asterisk box and route all my calls through a number in the UK, or Canada, etc? What if I start selling Canadian numbers here in Washington DC but my company is legally seated in the Caymans?

    All of that aside, this is just a letter sent to a Congressional committee, not a law and not even a bill. It was signed by 60 of 435 Reps, mostly so they can go home to their constituents and talk about how they are fighting that damned bureaucratic machine in Washington to win rights for rural America.

    It's also quite likely that none of the signatories actually want or expect this to go anywhere, because if it did they would have to explain in the next election why they made grandma pay taxes for her AOL account.

    Rest assured, this is going nowhere.

  53. Re: Better yet: by SpaceLifeForm · · Score: 1
    Speaking of which, expect to spend more for sewer and water taxes in the future. Any utility that has a 'pipe' to you is a perfect mechanism for governments to extract money from you.

    --
    You are being MICROattacked, from various angles, in a SOFT manner.
  54. Re:In Soviet Russia... by Jackie_Chan_Fan · · Score: 1

    histerical read :)

    I guessed right. :) Sad that i actually remember Yackoff, or as i just learned... Yakov :)

  55. These characters don't have flush toilets yet by Winkhorst · · Score: 1

    "a bipartisan coalition of [hick] legislators" wants to tax broadband. Maybe they should tax indoor plumbing and really bring up the living standards of their constituents.

    --
    "Is this Winkhorst a nova criminal?" "No just a technical sergeant wanted for interrogation."
  56. I just want them to be included by grahamsz · · Score: 1

    I wouldn't mind if t-mobile advertised $50/mo service and the bill comes and it reads:

    Service $47
    Regulatory fees $2
    Extra soft toilet paper for CEO fee $1

    But instead they advertise $47 which doesn't seem right.

    I had a similar conversation with a comcast rep that called me. Their service is very slightly cheaper (at face value) than my current ISP, but my ISP charge me the EXACT amount that they advertise, when i know that my comcast bill is bound to be higher.

    Including taxes in the price won't actually increase the cost - it'll only bring the actual cost inline wiht the advertised price.

    1. Re:I just want them to be included by damiangerous · · Score: 2, Informative
      But instead they advertise $47 which doesn't seem right.

      It doesn't? When does the advertised price ever include tax? Have you ever walked into a store and paid exactly what the price tag said? While some things like clothes and food aren't taxed in many jurisidctions, in most cases you're paying a sales and/or service tax to at least one jurisdiction (and sometimes two or three are taking a cut) every time you step up to a cash register. The company is only charging you X dollars. The government happens to be charging you more, which is entirely out of their control.

      I had a similar conversation with a comcast rep that called me. Their service is very slightly cheaper (at face value) than my current ISP, but my ISP charge me the EXACT amount that they advertise, when i know that my comcast bill is bound to be higher.

      Your current (dialup, I assume) ISP is only required to collect from you, at most, sales tax. Comcast is under a lot of regulatory and taxation umbrellas. They're required to collect all those taxes from you, despite their pricing being the same as your dialup ISPs. How is that their fault? You're blaming the wrong guy here. Despite you paying X dollars, Comcast is only getting Y dollars from you, just as your ISP would only be getting Y dollars. Even though you know Comcast is only seeing the same amount of money as your ISP in the end, it's still hard for you to come to terms with the fact that they're not gouging you in some way because more money is coming from your pocket when you get Comcast service. Imagine how difficult it would be to explain this concept if Comcast wasn't even allowed to disclose what effect taxation had on your bill. You'd really think they were screwing you. And that's exactly how taxing authorities like it.

      Including taxes in the price won't actually increase the cost - it'll only bring the actual cost inline wiht the advertised price.

      Yes, it would. Taxes would creep up faster, as it would be easier to hide small increases over time. Look at Europe and the VAT. They're required to price items with the VAT already included and retail taxation is absolutely out of control, with VAT ranging from 15-25% across the EU.

    2. Re:I just want them to be included by grahamsz · · Score: 1

      When does the advertised price ever include tax?

      I think every gas station i've seen here includes tax in their gas prices. Otherwise how would people avoid putting more gas in their car than they have cash in their pocket. It's not easy for the gas station to take their product back if the customer cant afford the taxes.

      I grew up in the UK where all retail sales are already priced with VAT included. Some stores show you both prices - particularly online or in places like costco.

      Most receipts now show you how much VAT you paid at the bottom - it's not rocket science to advertise a tax-inclusive price but still be able to show a breakdown of where the taxes went.

      In the UK it's easy to walk round the supermarket and keep a total in your head. You get to the checkout and know exactly what your bill is going to be. You get a receipt that shows exactly how much the government took.

      In the US it's a nightmare. I'm pretty good with numbers but struggle to keep track of the differing tax rates and even more difficult to actualy compute the total in your head. Just like the UK, you get a receipt that shows how much the government took (state, county and city in some places)

      Even though you know Comcast is only seeing the same amount of money as your ISP in the end

      I'm not sure what this has to do with anything. As a consumer I really only care about the actual out of pocket costs to me. Comcast have higher costs because of taxes, but save through pure economies of scale... my broadband ISP may pay less tax, but they employ competant technical support people.

      I'm not suggesting that Comcast have to hide all the various taxes, i'm merely suggesting that their advertised price should be the actual price on the bill. They can certainly itemize all the taxes - and i'd encourage them to do so.

      Sales tax is at least uniform. I can compare Kroger and Safeway prices because (as long as they are both in the same jurisdiction) the taxes will be the same. I can't do that with T-Mobile and Cingular since they seem to run those figures differently.

      I think comcast are screwing me by advertising one price when the actual cost of service is significantly higher. Different providers have different sets of taxes and fees so it's virtually impossible to accurately compare prices.

      Another particularly nasty example is that i've booked flights recently that have a "Fuel Surcharge" added to them. In other words, gas has gotten more expensive, and rather than letting that push ticket prices up, they keep their low prices and tack on a few more dollars in fees afterwards.

  57. Re: Better yet: by Anonymous Coward · · Score: 0

    Thankfully, I have a well and a septic system. If only it were as easy to get off the power grid.

  58. Sewer fees bother me by grahamsz · · Score: 1

    Every month i'm billed for X gallons of water - which is fair enough.

    But i'm billed the same X number of gallons of sewerage, yet at least half my water gets sprinkled on my lawn and evaporates off instead of ending up in the city sewers.

    1. Re:Sewer fees bother me by Firethorn · · Score: 1

      That's because it's a whole lot easier to measure clean water than sewage. I mean, would you want to service a consumer house level meter for that stuff?

      It's easier and cheaper to just base it off of your clean water usage.

      --
      I don't read AC A human right
  59. Okay idea, if there was universal service by dysk · · Score: 1
    Purposes of the universal service fee:
    • Low-Income. This program provides telephone service discounts to consumers with qualifying low-incomes.
    • High-Cost. This program provides financial support to companies that provide telecommunications services in areas of America where the cost of providing service is high.
    • Schools and Libraries. This program helps to ensure that the nation's classrooms and libraries receive access to the vast array of educational resources that are accessible through the telecommunications network.
    • Rural Health Care. This program helps to link health care providers located in rural areas to urban medical centers so that patients living in rural America will have access to the same advanced diagnostic and other medical services that are enjoyed in urban communities.

    I would have no problem with a broadband universal service fee if it resulted in universal broadband service like we have universal telephone service.

    However, since this is not likely to happen soon, it seems like another subsidy to the legacy copper telephone infrastructure, as most of the money collected in USFs get paid back to the telcos to provide the above services.

  60. Hilary Duff on slashdot? by Anonymous Coward · · Score: 0

    Wow, I never realized slashdot was popular enough that a fine piece of ass like Hilary Duff would be here!

    1. Re:Hilary Duff on slashdot? by Anonymous Coward · · Score: 0

      Are you kidding (Of course, but still. . .)? If you told the web address to the real Hillary Duff you'd put her in an infinite loop. "Let me get this straight. It's h-t-t-p colon slash slash slashdot dot org? So how do you spell that? h-t-t-p colon slash slash slashdot dot org? So how do you spell that? h-t-t-p etc.

  61. Okedoke... by modecx · · Score: 1

    That works for me!

    --
    Constitutional rights may be respected, repealed, or modified; but they must never be ignored.
    1. Re:Okedoke... by RichardX · · Score: 1

      Hey, just wanted to say thanks for the link in your sig. Great video.. I haven't seen someone squirm like that since Uri Gellar was caught out on the Tonight Show.

      --
      Curiosity was framed. Ignorance killed the cat.
    2. Re:Okedoke... by modecx · · Score: 1

      Heh, yeah I thought it was pretty good. Thanks for the Uri Geller suggestion--I didn't get to see him when he was on the Tonight Show, but I just downloaded a clip from wikipedia... There's one way to describe it: Owned!

      --
      Constitutional rights may be respected, repealed, or modified; but they must never be ignored.
  62. Rural subsidies by Anonymous Coward · · Score: 0

    The rural areas need all these effing subsidies?
    $400 billion farm subsidy .. universal service subsidy ..manufacturing subsidy .. sheesh

    I cant buy something from someone in a foreign country without them wanting a cut.

    I thought the rural areas were the engine of america. Without the rural areas the cities are supposed to collapse on themselves and everyone will starve to death, or have to buy cheaper foreign food.

  63. Re:Can't work; the Reps singning the letter know i by Inigo+Montoya · · Score: 1

    I guess my question is, how much new cable is actually being laid in rural America?

    From my personal experience, zero feet.

    4 years ago I moved from an apartment in the city, where both DSL and broadband cable was available, to my house in the rural, unincorporated part, about 10 minutes away. I'm actually about 10 minutes away from TWO cities, both of which have DSL and cable access. The local provider, Verizon, has been telling me for 4 years that they will notify me when DSL is available here, and Comcast has not laid any TV cable either. I've been using a satellite dish for TV entertainment and wifi (802.11) on my rooftop with line-of-site to a provider in the city.

    Aren't the telcos much more focused on putting up cell towers and selling much more profitable wireless plans?

    Yep. In those same 4 years, wireless service has improved here, more vendors have come into the market and they've been agressively marketing wireless internet plans to us.

  64. Do you want better broadband or more taxes? by geekee · · Score: 1

    from the article:
    ""If our residents are to be competitive in today's fast-paced, technology-driven global marketplace, our communities will require affordable high-speed, high-capacity access to data and information over the Internet," Rep. John Peterson, R-Penn., co-chairman of the Congressional Rural Caucus, said at a press conference held the day the letter was released. "If the private sector is either unwilling or unable to provide that service at an affordable price, we'll find a way to provide it for ourselves.""

    So congress wants to pass a tax to improve broadband service. Weren't most /.ers bitching because Korea and Japan have better broadband access than the US. But now that /.ers have to pay for it, they're bitching about the taxes. Make up your minds already.

    --
    Vote for Pedro
    1. Re:Do you want better broadband or more taxes? by Anonymous Coward · · Score: 0

      Not to mention that we have far better broadband service than any other country ... ... we have most of the interesting servers ;)

      Eat your latency, baby. You still need to go through our networks!

  65. Re:thats what happens when you are 7 trillion in d by geekee · · Score: 1

    " Makes you wish we had some Liberals in office... They actually balance budgets!"

    Liberals can't balance the budget in CA. Why do you think they would be any better at it in Washington? Because Clinton balanced the budget during the dot-boom pyramid scheme?

    --
    Vote for Pedro
  66. Good by drsquare · · Score: 1

    As someone who pays an extortionate rate of £20/month for shitty 31k dialup because my phoneline is maintained by shitheads, then I am glad of this tax. It's about time those priviledged people were punished for having things better than me, and about time something actually went my way rather than against me, like 99.999999% of everything that's happened in my entire life..

    Maybe now websites will not mean 150kb of download for 15kb of information (which is 90% fluff and filler).

    Now excuse me I'm going to the toilet, that bottle of wine is working its way through. I'll have to get some beer tomorrow to last me the week. I hope they still have those 8 tins for £5. I can get 32 for £20, lasts me two weeks which is good value for money. I might even throw in a bottle of baileys as a treat for being so damn amazing at everything.

  67. Either dump all telco taxes or tax all telco by davidwr · · Score: 1

    Either dump all telecommunications taxes and find some other way to take money out of my pocket, or tax all telecommunications equitably regardless of medium. The taxes on a telco line from the phone company should be about the same as the taxes on a similarly-set-up line from an IP provider, OR in porportion to the price, like a sales tax.

    Yeah, I know, the devil's in the details.

    --
    Knowledge is how to play a game, intelligence is how to win, wisdom is knowing what game to play.
  68. USF Fee by tlp95129 · · Score: 1

    ... The USF should continue to be industry funded ... Huh!! Last time I looked, the roughly 10% USF tax was paid by ME, passed through by my telco.

  69. Neutrality? Of what?-Old and busted by Anonymous Coward · · Score: 0

    Well isn't this a hoot? This is the first forum to be crying out "old and busted", "buggy wheel" when you all don't get your way. Now here on the front page is "new and improved" model and you all are clamoring for the "good old days".

    1. Re:Neutrality? Of what?-Old and busted by falconwolf · · Score: 1

      Well isn't this a hoot? This is the first forum to be crying out "old and busted", "buggy wheel" when you all don't get your way. Now here on the front page is "new and improved" model and you all are clamoring for the "good old days".

      Yes I clambor, for a government that stays within the constitution.

      Falcon
  70. This must be what it felt like... by firephreek · · Score: 1

    in Colonial American when the stamp tax was finally introduced. I'm not much off a history buff, but wasn't that the straw that broke the camels back?

    I feel like this is a bit like the stamp tax: A ridculous excuse to squeeze more money from the population to fund a corrupt bullshit government. This country needs to wake up and revolt against itself. We're dying people, and nobody up there (congress) seems to care. We're over spent, out produced, and quickly getting out manueverd. i'm not talking about world domination, just survivability.

    Anyone remeber the old adage, 'My kingdom for a horse?' And the horse was lost for lack of a nail? Well guess what: This country doesn't make nails anymore. Literally. We buy it all from China. Wake UP!

  71. Im glad I live in Australia... by PrivateDonut · · Score: 1

    wait! this is only for the US isn't it? The blurb wasn't very clear.
    (mutter) damn american biased new sites, damn them all (/mutter)

    1. Re:Im glad I live in Australia... by Anonymous Coward · · Score: 0
      Wanna see my space ship?
      I have a towel, see?
      Can I borrow your spaceship?
    2. Re:Im glad I live in Australia... by falconwolf · · Score: 1

      Wanna see my space ship?

      I have a towel, see?
      Can I borrow your spaceship?

      Where are yea headed, to that restaurant?

      Falcon

      So Long, and thanks for all the fish!
  72. Nawww! by Anonymous Coward · · Score: 0

    I think this is crap! I think the ones that use the most bandwidth should be paying taxes so the rest of us don't have to support their habit.

    And I think the biggest bandwidth-waster is, of course, Microsoft, for wasting all the bandwidth that they do by providing spammers, et al with their damned zombies.

    C'mon! A couple of hits like this and Microsoft really will make security job 1!

  73. weren't by PrivateDonut · · Score: 1

    they trying to promote Broadband?

  74. BS nonsense Re:All Those War Taxes... by swschrad · · Score: 1

    we will pay no taxes for the internet. we are paying for our bandwidth. the blind-pig idiots in government can just tax the rich instead of letting them off.

    what we WILL do is hack the tax collector if they try :-D

    watch and learn, grasshopper.....

    --
    if this is supposed to be a new economy, how come they still want my old fashioned money?
  75. Communist Scum! by Anonymous Coward · · Score: 0

    You Pinko Communist, Quit complainin!

    1. Re:Communist Scum! by firephreek · · Score: 1

      I'm a communist for saying that my government is out of control? That politicians and business men do not have the best interest of the common man and the future of our country in mind? I'm a communist for saying that the old american way of life has become a thing of the past? Forgotten and twisted? Broken and bloodless?

      Because of course one of the core tenents of american values is to berate and degrade those who would stand up and call truth. And even the better to do it behind the safety of anonymity.

      Anonymous Coward.

      Surely even you can appreciate the irony of that.

  76. take a deep breath. by /dev/trash · · Score: 1

    Comparing teh Tax Act to DSL taxes is waaaay out there. In no one's world is DSL a necessity.

    1. Re:take a deep breath. by firephreek · · Score: 1

      I don't know man. I mean, internet use is pretty much a staple way of life for many of us. It's a primary use of communication, banking, bill paying, media entertainment and more. And sure, I can get by without it, just like we don't need cars. I mean, not really anyways.

      And stamps back then weren't a necessity either. It wasn't so much "Jesus, they're taxing stamps! Not THAT!" but more of a "Not ANOTHER Tax. That's IT!". Taxation without representation. And I am being very very poorly represented.

  77. If its REALLY for universal service .... by PPH · · Score: 1
    ...then I wouldn't mind. Why not just admit: that 'telecommunications' includes bits as well as voice, the CATV claims that their broadband is really an 'information service' is just sidestepping taxes and regulation, and that these should be applied uniformly across all providers of similar products and services.

    But, that probably won't happen and this is just a means for someone to get their hands on some more of our money.

    --
    Have gnu, will travel.
  78. Re:thats what happens when you are 7 trillion in d by Anonymous Coward · · Score: 0
    So somehow the liberals managed to persuade the poor conservatives to blow all their money in a 1990s pyramid scheme.

    There was one way to get back at them, though: Cutting taxes while increasing government spending would make Clinton's fiscal successes look fleeting. "Look at the shithole we've dug ourselves into now! It must be all Clinton's fault!"

  79. Re:In Soviet Russia... by mrmike37 · · Score: 1

    In Soviet Russia, the joke explains you.

    --
    Really, I'm not trying to be clever with my signature.
  80. Repeat After Me... by vudufixit · · Score: 1

    The More Governments Take In, The More They Spend... The More Governments Take In, The More They Spend... The More Governments Take In, The More They Spend... Please, let's kill new taxes, and urge all governments to constrain their spending instead.

  81. Rid us of the Spanish American War Tax First! by kiddailey · · Score: 2, Informative


    Dammit -- we do not need more taxes! ESPECIALLY on communication services and ESPECIALLY when every U.S. citizen with a telephone is still paying the Spanish-American war temporary tax from 1898 .

    We do not need more taxes. We need a more efficient government.

  82. Seriously by vga_init · · Score: 1

    I'm all for socialized funding and provision of network services in our nation, but it's an all or nothing bit. If the government is going to skim off money from us for a service we're already paying for, it does neither us nor the industry any good (it just means more money for the government to spend willy-nilly). I sound like a conservitive, but I'm a socialist. The fact of the matter is that we already pay for this service, and such a tax is not benefitting society as a whole.

  83. Re:Neutrality? Of what? by forty7 · · Score: 1

    My question is, what sort of neutrality are we seeking here? "All providers of two-way communications." I fail to see how your internet service and your phone service are sufficiently similar. Maybe they should charge Motorola that tax for selling FRS radios. (sarcasm intended)

    Am I the only one who predicts a tax on stamps? I mean, the article said "All providers of two-way communication, regardless of the technology" (emphasis mine). I mean, sure, it's "half-duplex", if you will, but it's still two-way.

    (Yes, I realize we're talking about the Telecommunications Act. I'm just saying... ;o)

  84. this is clearly bullshit by bariswheel · · Score: 1

    Instead of providing incentives for people to get on the net (more people on the net -> more transactions on the net -> more money saved -> people can buy faster, 24/7, so more money businesses), they're going to TAX us. Boy these people sure have vision.

    --
    Insinct is stronger than Upbringing - Irish Proverb
  85. Total Tax Burden .......... by Ex-MislTech · · Score: 1

    Taxes on Broadband:

    Total taxation of the internet is coming, they are just seeking market saturation .

    They want to reduce cash purchases because it is harder to manage the taxation of it .

    The more commerce that goes online , the more they can skim from it
    is the darker alterior motive, and thus the early tax free
    incentive . Though mail order has been tax free for a long time
    the make it out like they were giving us something . Total BS .

    I do not think the vast majority of ppl realize the total tax burden placed on them .

    Even if you do not work you are paying "more" than sales taxes .
    The cost of taxes to companies are passed on to consumers .

    While at a goodyear tire center, the owner who grew "tired"
    (pun intended) of ppl complaining about the cost of tires
    made a list of the taxes from the raw material til it hit the
    store shelves, it is roughly 80% tax and that was in 1995 .

    I further extrapolated that the wage inflation of the ppl
    gathering raw materials and making the tires to finish product
    then delivering them would make it more like 90% .

    Wage inflation due to the higher cost of living to support the tax burden .

    Wages are as high as they are now just to keep up with the bloat of the parasitic system .

    His figures from what I saw were accurate and detailed .

    It made me stop and think about each and every item I use in life,
    and realize the "chain" of taxation .

    It is like a parasite that taxes from the raw material, til the
    finished product is in the home .

    Some states even have an Ad Valorum tax where even though something
    was "paid for+tax" they will tax you on it 'EVERY' year just because
    you have the audacity to own it .

    Our cost of living is inflated due to the tax monster parasite
    that has grown out of control over the last 200 years .

    The corporations simply shirk the tax burden onto the consumer .
    Apathy has allowed this to happen and a mind set of entitlement .

    I realize that the government needs money to run, don't get me
    wrong , but make it fair and proportional .

    Texas's choice to not tax food to help the poor was a DAMN good
    step in the right direction .

    We need to look at reducing the cost of government, and we need
    to look at reduction of taxation, and more accountability .

    The taxes and what they are used for need to be posted on the
    web in an easy to find format, NOT buried 25 pages deep in a .gov
    website in a format that makes it miserable to read or search .

    The freedom of information act allows for this to be done .

    Secret military projects will have to continue, but some
    kind of cost over sight OTHER than "paid off" politicians needs
    to be put in place . Just my taxed 2 cents ...

    The tax I am waiting for is a tax on another tax, that is when we have truly broken new ground .

    Peace,
    Ex-MislTech

    --
    google "32 trillion offshore needs IRS attention"
    1. Re:Total Tax Burden .......... by falconwolf · · Score: 1

      I do not think the vast majority of ppl realize the total tax burden placed on them .

      Tax Freedom Day, 1980-2005

      I realize that the government needs money to run, don't get me wrong , but make it fair and proportional .

      Sounds like you need to join the Free State Project

      The Free State Project is an agreement among 20,000 pro-liberty activists to move to New Hampshire, where they will exert the fullest practical effort toward the creation of a society in which the maximum role of government is the protection of life, liberty, and property. The success of the Project would likely entail reductions in taxation and regulation, reforms at all levels of government to expand individual rights and free markets, and a restoration of constitutional federalism, demonstrating the benefits of liberty to the rest of the nation and the world.

      Falcon
    2. Re:Total Tax Burden .......... by Ex-MislTech · · Score: 1

      I like the idea, but it is not practical for ppl that have careers
      they have to follow where ever the wind blows them .

      I am fortunate enough to own my own business and could simply
      transplant myself and rebuild my customer base there, or even
      sell this business here and rebuild one there .

      My house, and vehicles are paid for and I have zero debt, so
      making the move would not be financially hindered .

      I applaud their idea, but it won't work for most 9-5 americans
      that are slaves to the system .

      It took half a decade for me to drop my debt , save enough to
      pay off my house and start my own business, most ppl just don't
      want it that bad .

      Peace,
      Ex-MislTech

      --
      google "32 trillion offshore needs IRS attention"
  86. Edit: by Anonymous Coward · · Score: 0

    Possible Taxes For American Broadband Users

    Nothing to see here.

  87. Now just doggone minute! by museumpeace · · Score: 1

    I pay universal service "tax" [its not a tax,..its, its uh, well see if you can get a sensible explanation out of YOUR phone company] for my phone useage. Didn't we just get a ruling that broadband is specically NOT common carrier, i.e. it is NOT the phone commpany?

    --
    SLASHDOT: news for people who can't concentrate on work or have no life at all and got tired of yelling back at the TV.
  88. "chump change" by Anonymous Coward · · Score: 0

    actually $200 billion is 10% of the 2 trillion dollar budget, but yes, money is being wasted in all kinds of places.

  89. Is the US becoming socialist? by MerlinTheWizard · · Score: 1

    That's a real question.

  90. Re:thats what happens when you are 7 trillion in d by Doc+Ruby · · Score: 1

    Davis' budget was unbalanced by the energy gouging, courtesy of Enron - and protected by Bush's DOE. Which strategized Schwarzenegger's takeover ploy, so he'd drop CA's $8B lawsuit. Unless you're calling Herr Schwarzenegger a "liberal"?

    --

    --
    make install -not war

  91. taxes by falconwolf · · Score: 1

    Whether people are patriotic about taxes or not, they are required in any complex society. Dodging taxes isn't simply a one-fingered salute to government, it's really (intended or otherwise) a shot at society itself.

    How so, how is not paying taxes at shot at society?

    Falcon
  92. conservative or liberal? by falconwolf · · Score: 1

    Many true conservatives aren't happy with the current republicans and feel they are trading tax dollars for votes. I suppose that include me.

    If you're referring to current republican, conservatives, and small government then you really should be a "Classical Liberal". Real liberals want liberty and small government.

    Liberalism

    Usage of the word liberalism The word liberalism has several different, but generally related, political meanings. In its original political meaning, the term "liberal" refers to a political philosophy, founded on the principles of the Enlightenment, that tries to circumscribe the limits of political power and to define and support individual rights. In the present, a variety of ideologies attempt to claim the mantle of 19th century liberalism, from libertarianism via social-liberalism to American liberalism.

    Introduction: The Definition of Classical Liberalism

    These scholars and others actually agree far more than they differ concerning the philosophy's components. For the purpose of this chronology and analysis, I shall apply a broad set of criteria to determine if an idea or individual fits within this intellectual tradition. In this context, classical liberalism includes the following:

    • an ethical emphasis on the individual as a rights-bearer prior to the existence of any state, community, or society,
    • the support of the right of property carried to its economic conclusion, a free-market system,
    • the desire for a limited constitutional government to protect individuals' rights from others and from its own expansion, and
    • the universal (global and ahistorical) applicability of these above convictions.
    Falcon
  93. If only it were as easy to get off the power grid. by falconwolf · · Score: 1

    Homepower

    Falcon
  94. Qwest Choice DSL Standalone: $33.00 by falconwolf · · Score: 1

    How is your Qwest service?

    Falcon
    1. Re:Qwest Choice DSL Standalone: $33.00 by hazem · · Score: 1

      I'm using Qwest for the "wire" and a local ISP for my ISP (Spirit One).

      I'm not sure because I haven't tested it, but I don't think I'm getting the full 1.5 down that I'm supposed to. One of these days I'll upload and download a large file to Spirit One - which shouldn't have any congestion from the net, just to see what I get.

      My biggest complaint is that they only let you get 1.5 at $33. I moved away for a while and moved back. Before I moved, I could get 256 for $18/month + my own ISP. Now they wont let me get 256 unless I use qwest as my isp. So, I'm paying more than I'd like, but I like having a choice of ISP and the options that allows (I can ssh in on port 80 if I want, etc).

      As for quality, the line probably goes down two or 3 times a year for a couple of hours. It's always on qwest's side.

      So, overall, I'm pleased.

  95. Re: Better yet: by cr0sh · · Score: 1
    Actually, expect to spend more for sewage in coming years (not just taxes) - furthermore, be glad for it. Finally - if you don't - be AFRAID (ok, maybe that is a little over the top).

    Seriously, here in Phoenix the New Times reported about our dilapidated sewage system. About how in certain areas, civil engineers and city workers have seen large sections (50 feet or more in some cases) of large (54 inch diameter) non-PVC lined concrete pipes (with 5 inch thick walls) missing - generally the "top" of the pipe. You see, what happens in these non-lined pipes is that there are various bacteria that abound and form hydrogen sulfides, which combine with the water and form sulferic acids, and in the environment of the pipes, evaporation and condensation at the tops of the pipe lead to heavy duty corrosion and erosion of the pipes. Some of these pipes are buried two stories underground, and handle simply a mind-boggling amount of waste every day. Guess what could happen if one of those pipes (and the dirt above it) collapsed?

    Well, "shitstorm" begins to describe it, especially if you happen to be an unluckly homeowner somewhere upstream of the sewage. The sewage, which is a huge torrent, will back up, and continue backing up, seeking a pressure relief. Up through the pipes, through smaller and smaller pipes, and in theory, if it isn't fixed or the pressure relieved soon, all the way up your four inch sewage pipe into your house and out all the toilets and sinks.

    You won't be able to stop it, you won't be able to fix it, and your house will be UNLIVABLE, and UNSALEABLE - even if you can get it cleaned up (because you will have to disclose these facts to prospective buyers, of course).

    According to the New Times, one lady and her son experienced this twice within a year's time in there Sunnyslope home (she noted that sewage was spewing out of her toilets like a fountain!) - and the city virtually did nothing (her insurance payed her $90,000 the first shot - and capped her at $10,000 for any repeat problems - and this amount doesn't cover her to pay off her mortgage - because she can't sell it - and get into another home).

    Furthermore, this isn't just something in the Phoenix area (though we are sitting on a ticking time bomb here, and are used as an apparent example of what can go wrong in a city by sewage engineers) - any and every city and town can be affected by this problem. The answer to the problem is an easy, but hard to swallow one: more money. More money to repair and fix the problems, to put in better pipes, and to carefully inspect the pipes that exist. Some of the problems are huge - there are large (and not so large) pipes running right under major freeways - how do you dig up something like that and fix it?

    Part of me, though, thinks that the answer isn't just throwing more money at the project. Part of the problem is growth and lack of restrictions on growth, part of the problem is NIMBY responses to building waste treatement plants (apparently, here in the Phoenix area, the majority of sewage all goes to one waste treatment facility - not just for Phoenix, but for Mesa, Tempe, Paradise Valley, Scottsdale, etc. too). These other far flung communities don't want a waste treatment facility near them (probably mainly because of the smell), so they just hook into the aging system, and continue to grow, and say "not my problem".

    I don't know about you, but I don't want my house to turn into a large brown pool of brown spewing fountains of sludge from my toilets because a pipe collapsed downstream of my house, and everybody in Anthem, Scottsdale, North Phoenix, and everywhere else continues to flush their toilets and use their showers. I hope this never happens to me, and I hope it doesn't happen to you. But it might.

    In a way, it has already happenned to me, but on a smaller scale. I lived in an apartment on the ground floor, and the drainage line to the main line behind the complex became clogged (tree roots or something) - and before we knew it, the upsta

    --
    Reason is the Path to God - Anon
  96. socialism? by falconwolf · · Score: 1

    Competitive neutrality? So they want to eliminate competition? Is it just me, or does this country move farther towards socialism every day?

    More like fascism as the government isn't taking over the competition, claiming ownership of all means of production.

    Falcon
  97. I'm using Qwest for the "wire" by falconwolf · · Score: 1

    and a local ISP for my ISP (Spirit One).

    Earthlink is my isp with Tinme Warner supplying the cable. I had Earthlink dialup to start with and just upgraded when I moved.

    Falcon
  98. Colonial American by falconwolf · · Score: 1

    in Colonial American when the stamp tax was finally introduced. I'm not much off a history buff, but wasn't that the straw that broke the camels back?

    We need to have another Boston Tea Party!!!

    Faclon
  99. In India this is old news by Argon · · Score: 1

    We pay a 10.2% service tax on broadband as well as Cell Phone and Land Line bills.

    Ganesan

  100. Too bad, information should be free by Anonymous Coward · · Score: 0

    The internet should be tax free. Knowledge is power, tax the goods, not the knowledge.

  101. Free State Project by falconwolf · · Score: 1

    I like the idea, but it is not practical for ppl that have careers they have to follow where ever the wind blows them .

    I agree, but for those willing and able it's a good idea. As for myself I don't have plans further out than a few years and they aren't detailed or anything. As it is now, I'm a student and am hoping to go to Brazil in about three years for a year in a study abroad program. Then I'd like to start my own business though I'm not sure what type. I used to know what I wanted to do but several years ago I had a bad accident and since then I lost interest in it. Now I'm basically at the point of seeing if I live through the day.

    It took half a decade for me to drop my debt , save enough to pay off my house and start my own business, most ppl just don't want it that bad .

    Unfortunately that's all too true, it seems most are more concerned about the rat race and beating the Jones. That or they're stuck in some ghetto or inner city worrying if they and their kids will survive today.

    Falcon
  102. Whoa! ease up on the skepticism by sarcasticmama · · Score: 1

    Have you ever had to file for Erate funds? Do you fully understand what the program does? If you did, you would NOT be saying to kill the program. This program helps keeps schools and libraries connected to the Internet. It gives us discounts on our telephone service and Internet service. It also helps provide internal connections for buildings that do not have the wiring in place for Internet. I file all my library's Erate paperwork. I understand the process. I can not stop others from abusing the system, but I can tell you that those that abuse it are NOT in the majority. It must be awful easy to criticize something you have no clue about. Read through the reference area on tbe Universal Service's website. http://www.sl.universalservice.org/reference/

  103. It's bad policy, we should do the exact opposite. by Puba+the+Fool · · Score: 1

    One of the best uses of all the homeland security money would be to create an inexpensive secure wireless broadband across the entire country.

    Then the population could remain decentralized, and communicate and do business without having to ride subways and collect into buildings like the world trade center where we are targets for terrorists.

    It's very very hard to defend against terrorism, we have to protect every point, and they only have to attack at one point. By putting cheap broadband everywhere we can make all their attack points have lower value.

    We could then encourage telecommuting to business, education, government, and entertainment. In this way we make ourselves less vulnerable and we reduce our dependence on oil because we won't need to drive as much. The dependence on oil is part of our vulnerability to terrorism.

    We improve the quality of everyone's lives by letting them spend their commuting time with their families instead of stressed out in rush hour traffic.

    We improve the environment by driving less and reducing air pollution.

    Cheap and easily available wireless broadband would stimulate commerce, science, and research and would improve our economy, which would generate more wealth for everyone and increase tax revenues without having to increase tax rates.

    It would allow us to distribute better public educational resources to children in areas that that are remote or disadvantaged. I believe that education is one of the few social programs that actually make our society more just by providing opportunity for all.

    A nationwide wireless broadband would be valuable resources for connecting and linking security and emergency services allowing them to work in unison and be more effective. It would make their communications less vulnerable during times of crisis and allow better and more distributed command structures.

    I don't believe that the government should be involved in running a nationwide broadband service. Frankly they just don't seem to do things without screwing them up. What government could do is encourage the use, development and implementation of cheap broadband by allowing tax credits for research and implementation.

    They could even make our ISP fees tax deductible to encourage increased use of the Internet.

    This would be the exact opposite of taxing it. It would also be the right thing to do.

  104. Re:Whoa! ease up on the skepticism by BJZQ8 · · Score: 1

    I have filed for E-Rate for 4 years in a row. I have done it for 3 different school districts. I have seen that for every 1 time there is some good done, there are 100 times where you work for days on pointless paperwork and get nothing. There are 100 more times where districts fill rooms with equipment they will never use. I have nothing against the program but the fact that it is a bloated, governmental nightmare, a giant monetary circle-jerk for the telecom companies. Just try "buying" your telecom lines between buildings...it goes from Priority 1 to "Internal Connections", which if you're not in the middle of a housing development, means "Internal Connections Rejected due to Lack of Funds." Try to get money to pay your system administrators or maintenace people. Unless they work for a consulting company, you can't get anything. The system is set up to keep a continual flow of money to telecom companies and consulting firms. If it was really about the schools and libraries, they would be giving out block grants, not discounts on packaged services provided by big political contributors. I stand by my original sentiments. The system is irrepairably broken, and should be euthanized. Replace it with something MUCH simpler and not tied to funneling money to SBC. Example 2: I wanted to connect two schools via a network. I can get a $2000-per-month T1 line, which I could get a 68% discount on...or I could buy a simple wireless unit...Where there is no discount! So it's a choice between $680 per month forever, or a one-time cost of $5000. But E-Rate does not allow anything but leased lines under Priority 1! This is corporate welfare at its worst, maintaining an ineffcient system for the purposes of filling somebody's pocket. Ya, we need something like this, but NOT THIS.