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Another step AWAY from Net Neutrality
October 10, 2007
During the House Judiciary Committee* mark-up, House Republican High Tech Working Group Chairman Bob Goodlatte (R-VA) offered an amendment to H.R. 3678*, the Internet Tax Freedom Act, which would make the ban on Internet access taxes permanent. By a vote of 15-21 Democrats blocked the Goodlatte amendment which would have ensured that the cost of purchasing Internet access is kept as low as possible for all Americans by banning taxes on access to these services.
Goodlatte was successful in offering an amendment, which passed 20-18, that would have extended the ban on Internet access taxes for eight years, forcing the Democrats on the House Judiciary Committee to resort to procedural tactics to overturn this vote.
Instead of passing legislation to permanently ban Internet access taxes, Democrats acted on legislation which only temporarily extends the Internet tax moratorium for four years, leaving the door open for restrictive taxation in the future. Such taxation would create onerous and unfair burdens on industry, hinder technological development, and slow economic growth.
Earlier this year, Reps. Bob Goodlatte and Anna Eshoo introduced H.R. 743, the Permanent Internet Tax Freedom Act, which makes the ban on Internet access taxes permanent. This legislation, which currently has 238 bipartisan cosponsors, would provide certainty for providers of Internet access, spur broadband deployment and adoption, and help bridge the digital divide between those who can and those who cannot afford Internet access. A majority of the members of the Judiciary Committee are cosponsors of H.R. 743 yet only one Democrat on the Committee voted for the amendment to permanently ban Internet access taxes.
"The procedural tactics of the Committee Democrats are simply unacceptable. I believe the will of the House is clear - a strong, bipartisan majority of Members want a permanent ban on these burdensome taxes. Unfortunately, the actions of the Democrats on the House Judiciary Committee do not reflect the Congress' commitment to ensuring the Internet is free from excessive taxation and regulation. I continue to urge the House Leadership to bring to the Floor a permanent ban, so that the Internet will continue to thrive and so that access to the Internet does not become limited to wealthy Americans in urban areas."
The Internet Tax Fairness Act of 1998 created a moratorium on state and local Internet access taxes and multiple and discriminatory taxes on e-commerce. As a result of this moratorium, the Internet has remained relatively free from the burdens of new taxes. The moratorium has been extended on numerous occasions. However, without further action by Congress, the moratorium will sunset in November 2007, subjecting the Internet to possible taxation from more than 7,500 taxing jurisdictions.
We welcome your comments on such important issues. Please contact the Editor
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