WASHINGTON--With only months left on a moratorium restricting state governments from taxing Internet access, the U.S. House of Representatives on Tuesday began a debate over whether the ban should be made permanent or allowed to lapse.
At issue is the scheduled expiration on November 1 of a law, initially enacted in 1998, that says local governments generally cannot tax Internet access, including DSL (digital subscriber line), cable modem and BlackBerry-type wireless transmission services. The law also prohibits governments from taxing items sold online in a different manner than those sold at brick-and-mortar stores, but it does not deal with sales taxes on online shopping.
That's the way it should remain, some politicians said at a brief hearing here convened by a House of Representatives panel on commercial and administrative law.
"If we could liken the Internet to a mall, a place where you can go in and purchase goods and services, and also liken it to a library, a place where you can go and pull a book, pull a resource, and obtain some information, why would we tax a person upon entering a mall or why would we tax a person upon entering the library?" asked Rep. Hank Johnson, a Democrat from Georgia.
Thursday, May 24, 2007
How Can We Tax You More?
The Internet is to socialist's desire to tax as the Fountain of Youth was to Ponce De Leon. Luckily there seems to be enough people in both parties where the Net tax wouldn't have a real shot.
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