Internet Tax? Why? (Rep. Lamar Smith)

October 14th, 2007

On November 1, 2007, the Internet tax moratorium will expire.  Congress has a little over two weeks to act before Americans could face taxes of up to 20 percent for simply accessing the Internet. That’s the equivalent of taxing a shopper at the local mall 20 percent for just walking through the doors!

Across the nation, American consumers and businesses support a permanent ban on Internet taxes.  But when given the chance this week, Democrats on the Judiciary Committee refused to listen.

Rather than voting to permanently protect the public’s tax-free access to the Internet, Democrats opposed the measure by a vote of 20-15.  Even when given the opportunity to merely extend the ban for an additional eight years, Democrats again voted to oppose the extension.  In fact, Democrats voted down any and all amendments that would extend the Internet tax ban beyond four years.

The record clearly shows that Democrats oppose a permanent ban on Internet taxes.  The question that must follow is “why?�  Why, when the Internet is the single most important resource for businesses and consumers today?  Why, when it is an invaluable tool for students and teachers?  Why, when it is the driving force behind our economic growth in an international market?

The only logical answer is that Democrats want to keep the door open for states and local governments to impose taxes later on down the road.  Delaying taxation on Internet access isn’t good enough.  Congress should act now to make the Internet tax ban permanent.


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By Texas GOP Rep. Lamar Smith