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posted by janrinok on Friday June 20 2014, @04:35AM   Printer-friendly
from the no-taxation-without-something-or-other dept.

A U.S. House of Representatives committee has approved a bill that would permanently extend a moratorium on broadband access and Internet-specific taxes that Congress has temporarily extended three times over the past 16 years. The House Judiciary Committee's 30-4 vote Wednesday sends the bill to the full House for a vote. The bill would also have to pass the Senate before becoming law. The bill, called the Permanent Internet Tax Freedom Act [PITFA], would also remove past exemptions for seven states, including Texas and Ohio, that had Internet taxes in place before the moratorium first passed in 1998.

A permanent tax moratorium on Internet-only taxes will allow the Internet to continue to drive the U.S. economy and serve "as the greatest gateway to knowledge and engine of self improvement that has ever existed," said Representative Bob Goodlatte, a Virginia Republican and committee chairman. The current Internet tax moratorium expires Nov. 1. "If the moratorium is not renewed, the potential tax burden on consumers will be substantial," with access tax rates that would likely exceed 10 percent, Goodlatte said.

 
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  • (Score: 2) by Magic Oddball on Friday June 20 2014, @08:35AM

    by Magic Oddball (3847) on Friday June 20 2014, @08:35AM (#57850) Journal

    That's what the US does: the rural states receive a massive wealth transfer from the urban states, and no one complains.

    Hah... Either you're joking, or you've never been in California or known people here. Simply put, most of it's farmland or undeveloped, and aside from the few affluent areas, has been struggling enough since the dot-com crash in '00 that people are openly very unhappy at having money sent to other states when we need it.

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