You said — The internet was originally established as a tax free zone. There’s no way in hell we should surrender that distinction. And since taxes have not been collected, it hasn’t really be a taxed zone yet, in practice.”
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No, you’re wrong there..., the Internet was never established as a tax-free zone. *Originally* the Internet was established as a “business-free” zone. I should know since I’ve been on it from the National Science Foundation days... when you could be *ejected* from the Internet, have your account closed and be knocked offline for *merely* trying to sell an old worn out book online.
If you were caught so much as advertising *anything* for sale on the Internet (i.e., not “taxes” but *anything for sale*) you would be kicked offline and you would not be able to get an account.
The key was “doing business” and “for sale” online. That was *absolutely forbidden* on the Internet — and *not* taxes.
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Now, move forward to when the government turned over the Internet to “business interests” and then it became “okay” to sell something online (about the mid-90s). States were definitely going to get their cut of sale taxes. However, the Federal Government wanted to give “online businesses” the chance to “start up” as much as possible. It was then agreed to allow a “tax moratorium” for online sales taxes. This was *always* from the very beginning, a temporary moratorium. It was *never* something that was said to be permanent.
It was always stated that it was to give online businesses a chance to get a foothold and become established and then the sales tax moratorium would be lifted.
Well, that time is pretty close to now, because online businesses are quite prevalent and well-established at this time.
As I said — the Internet was *never* started as a “tax-free” entity... That’s a complete misunderstanding of the entire process and displays a bad understanding of the facts...
I was there and I remember it all and that’s how it all happened...
Look, the internet has been described at the highest levels of our government as a tax free zone. You may want to dismiss those comments as being in error, but the perception you have is not universally shared.
I don’t disagree with your recitation. I do disagree that the internet has not been heralded as a tax free zone for a long time. It has been. And while you’re perception is that it was going to end sooner or later, once again, that view has not been universally shared.
Perhaps I do have a skewed vision to a degree. It seems to me that you do as well, if you think the tax free status of the internet is not well ensconced, and something just about everyone wants to defend.
Here we have the government rearing it’s ugly head again. We want a place where we can be free. The government wants to reign it in. Hell no.
Look. Let’s say you’re 100% right. Do you really want internet commerce to be taxed, just like ever other entity? Shouldn’t we be trying to carve out more areas free from taxation, not surrendering new ground to the taxers?