New UK Wireless Network Tax May Hamper Internet Rollout
Mark.JUK writes "The Valuation Office Agency (VOA), which compiles and maintains business rating and council tax valuation lists for England and Wales, is reportedly getting ready to impose business rates (tax) upon UK wireless networks regardless of their status. The move has raised concern because many community driven wireless broadband (Wi-Fi , WiMAX) ISPs, which often exist in locations where the big players have failed to deliver adequate services (remote and rural areas), operate off some already very thin margins."
The move has raised concern because many [ISPs] operate off some already very thin margins."
The solution would be to directly tax those ISP's benefits.
Hmmmm, I wonder if anyone thought of that.
Those thin margins exist because competition is keeping the final price down. When the government comes along and imposes a tax on all the businesses, the prices rise, but those margins stay pretty steady.
A boat floating in a harbor has some percentage of its total mass below the water. When the tide comes in, the boat rises up. When the tide goes out, the boat sinks back down. But there is no change in the amount of boat mass above and below the water! The only thing that affects whether the boat goes deeper into the water or not is if additional mass is added, removed, or a hole is punched in the bottom. Governments are well known for punching holes into the titanics of industry, though.
"The move has raised concern because many community driven wireless broadband (Wi-Fi , WiMAX) ISPs, which often exist in locations where the big players have failed to deliver adequate services (remote and rural areas), operate off some already very thin margins."
So...when's the discussion going to turn to, "those thieving, bastard, monopolies" just wiring up the high population areas?
The solution would be to directly tax those ISP's benefits.
I can't parse that.
Yes. The best way to get out of a recession is by imposing new taxes. Well done.
But what should I expect, you got us INTO this mess...
Seven puppies were harmed during the making of this post.
In fact in the UK i worked out that my current isp's margins are so tight i actually cost them around £50 / month for my connection that i pay £30/month for. It also explains why the "up to 24mbit" gets the best speed of 2mbit in eveningings and 1mbit all weekends. It also gets so bad on sunday afternoons the max speed i can sometimes get is around 0.2mbit which is only double isdn speeds. The UK really needs to sort its self out when it comes to telecomes. The goverment putting more tax's on it really isnt helping it any.
Isn't VAT the solution to this?
A tax at the point of consumer sale. Hence if you give away the service, you don't pay the tax.
If it's felt that broadband should raise more tax, then they could set a higher rate of VAT for such services -- although I don't see why that ought to be the case.
I'm pretty sure the UK government would regard killing off community and small-time independent wireless internet efforts a feature. They want everyone signed up to 2 or 3 large corporations, with deep packet inspection feeding all data into central control. It's the UK for god's sake! The people the americans and irish and a fuckload of other people fought bloody wars to escape! They haven't changed!
Later in the original article, they call this a "Wireless Window Tax*" so the solution's simple - just switch to Linux!
L3K
*Yeah, yeah: http://en.wikipedia.org/wiki/Window_tax
AT&ROFLMAO
It’s amazing that government can consider taxing network connectivity. We’re constantly being told to be green and limit CO2 emissions while we roar up and down motorways on the way to work and then when a technology emerges which could limit the need for physical transport to work by enabling tele-working the government tax it. New Labour do not have a clue.
Sincerely,
A. Banker
PS a discussion tax of £100 has been sent to you
First let me say that I think that taxing a technology is the kind of thing that's born and implemented because of heavy lobbying by the competition (which uses a different technology) - there are zero public benefits from such a measure: it only creates artificial barriers to entry that protect the established telecoms and result in lower services and higher prices for the consumer.
That said, here's a couple of things that those that provide Internet services over wireless can do:
When the economy gets bad, the government needs to the same thing that everyone else must do: cut spending and lay off workers. I know, I know, it's a hard concept to imagine: government employees and agencies having to operate like EVERY OTHER PART OF CIVIL SOCIETY! It says a lot about modern man that he will tolerate losing wages, losing his house, etc. and won't snarl at the state behaving like Eric Cartman screaming for more cheesy poofs...
"The power to tax is the power to destroy" John Marshall, Supreme Court Justice http://quotationsbook.com/quote/38275/
Look at anything that is taxed specially for how this works in practice, alcohol, cigarettes, cable TV, Tea a few hundred years ago, driving in central London.
Similarly, look at how tax prevention allows some businesses to thrive - Amazon.com, illegal drugs, and satellite TV in the USA, for example.
Timmeh, you idiot! Why do you always deliberately misinterpret stories about the UK to spin them in the worst possible light? Do I detect a hint of insecurity or something?
For everyone *with* a brain (not the /. janitors), read the article and ignore the misleading headline. What they're talking about is getting companies to pay business rates for telecommunications mast sites.
Sorry if i didnt get the joke, if joke ther is, else you are a idiot. When the economy get bad, spending must be incresed to keep it from stalling. The govement is the only entity that can do spending when all other part of civil society stop spending and save in fear.
In fact, it the other way around, only retard spend like crazy in goods times then save in the bads.
You save when posible, for be the bad days.
http://www.gutenberg.org/files/17941/17941-h/17941-h.htm#La_Cigale_et_la_Fourmi
In fact, it the other way around, only retard spend like crazy in goods times then save in the bads. You save when posible, for be the bad days.
US Politicians spend like drunken fools in good times and then say 'But we can't cut spending!' in the bad times and use it to justify raising taxes. Seriously, my county board raised spending by over 10% a year, in an already prosperous county, during the late 90's through a few years ago.
Fly me to the moon Let me sing among those stars Let me see what spring is like On jupiter and mars