Posted on 10/16/2007 12:54:48 PM PDT by libertarianPA
WASHINGTON - The House on Tuesday overwhelmingly approved a four-year extension of a moratorium on state and local taxes on Internet access, despite widespread support in both parties for a permanent ban.
The tax ban, first passed in 1998, is set to expire on Nov. 1. The extension exempts some states that approved taxes prior to the original enactment.
The vote was 405-2.
"This bill is pro consumer, pro innovation and pro technology," said Rep. Mel Watt, D-N.C., one of the bill's sponsors.
The bill to extend the tax break fell short of the permanent exemption that many lawmakers favor. A bill to make the moratorium permanent has 238 House co-sponsors, more than a majority.
Rep. Lamar Smith, R-Texas, said a permanent ban would ensure that businesses would continue to invest in the Internet and keep access affordable for users. He charged that by limiting the House to consideration of a temporary extension, Democratic leaders "want to leave the door open to taxing the Internet in the future."
Watt, however, argued that a temporary ban was the right way to go both for political and practical reasons.
The Senate, which must act next on the legislation, has "in many ways made it clear that a permanent moratorium would be dead on arrival," Watt said. Without quick action, the ban was in danger of expiring before new legislation could pass, he said.
Watt said the bill also will allow lawmakers to make changes as needed, as has occurred the two times the moratorium has been extended since 1998.
Action is uncertain in the Senate, where there is also considerable support for a permanent tax ban.
The bill is HR 3678.
Funny, some people have been using that argument for the last few years up to yesterday.
Who were the dissenters?
Bernie Sanders? Dr. No himself?
H
Here in PA you need to account for all internet purchases and pay state taxes on them. Wonder how many people do this?
The list of who voted for and against isn’t up yet.
http://clerk.house.gov/evs/2007/index.asp
“Here in PA you need to account for all internet purchases and pay state taxes on them.”
Even used stuff on Ebay?
Yeah : )
There is a difference between them asking you to do it, and people actually doing it, though.
The RATS and or the PUBS will have a fight on their hands should they try to tax the internet. A massive public outcry would definitely ensue.
This is a ban on taxing the use of the internet and has nothing to do with sales taxes. Right?
And I’m sure people said exactly THAT about the notion of an income tax right up until 1916.
Wow, this is gonna piss off all the socialist states.
I lived in Delaware back in the 70's and I remember Penn being pretty nasty about their citizens making major purchases in Delaware where there was no sales tax.
It was really crazy with alcohol. In Delaware you had to be 21 to buy alcohol, but in Penn it was 18. So 18 year olds went to Penn and Penn adults went to Delaware.
It’s these permanent Chicken Little battles that end up working against us. We won. Put it aside for a year. It’s like Al Gore and John Kerry continuing to run as a candidate for the Presidency though “W” has already been sworn in and is well on the job.
The No votes were Eshoo & Turner. I’m surprised ‘Dr. No’ didn’t find a period out of place or something..
Fast eddie as leader of the backward state, and yes I live in Pa.
Yep. This is not for online purchases.
Is the Senate moving on this?
I dunno, I have been otherwise distracted.
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