• About
  • Advertise
  • Contact
Sunday, October 26, 2025
No Result
View All Result
NEWSLETTER
iotwashington
  • Home
  • Internet of Things
  • Security
  • WAN
  • Cloud Computing
  • Data Centers
  • Mobile
  • Networking
  • Software
  • Home
  • Internet of Things
  • Security
  • WAN
  • Cloud Computing
  • Data Centers
  • Mobile
  • Networking
  • Software
No Result
View All Result
iotwashington
No Result
View All Result
Home Internet of Things

US House votes to ban Internet access taxes permanently

in Internet of Things
0
SHARES
5
VIEWS
Share on FacebookShare on Twitter

The U.S. House of Representatives has passed a bill to permanently extend a 17-year moratorium on taxing Internet access and other online services.

By voice vote on Tuesday, the House agreed to pass the Permanent Internet Tax Freedom Act, which would prohibit states from taxing Internet access and from levying any new taxes that target Internet services but have no offline equivalent. The bill would prohibit taxes on bandwidth or email, for example.

Congress has passed temporary moratoriums since 1998, and the current moratorium is set to expire Oct. 1.

The House action sends the bill to the Senate. Some senators have resisted calls for a permanent tax moratorium in recent years.

Under the Permanent Internet Tax Freedom Act, Congress could still let states force Internet retailers to collect sales tax. Retail groups have been pushing Congress to allow online sales taxes for years, but lawmakers have resisted because of potential complications with collecting the tax.

Supporters of the bill argued new taxes could slow the adoption and growth of Internet commerce. If the tax moratorium is allowed to expire, Internet users would be hit with a “substantial tax burden,” said Representative Bob Goodlatte, a Virginia Republican and bill sponsor.

The average tax rate across the U.S. on other communications services, such as mobile voice, is more than 13 percent, and Internet users could expect the same taxes if the moratorium expires, he said.

New taxes would hit poor U.S consumers especially hard, said Representative Anna Eshoo, a California Democrat. “We want to encourage expanded broadband adoption,” she said. “If you tax it, you’re going to shrink it.”

Some Democrats objected to a permanent tax moratorium. Past moratoriums have allowed a handful of states that had Internet access or ISP taxes before 1998 to keep them, but the new legislation ends that grandfather clause. The 10 states allowed to tax Internet access would lose about US$500 million a year in revenue, said Representative Sheila Jackson Lee, a Texas Democrat.

States with Internet access taxes include Texas, Ohio, Wisconsin and Tennessee. The bill will “severely impact” the budgets of the grandfathered states, with Texas losing the biggest amount, Jackson Lee said.

The Retail Industry Leaders Association, a trade group, called on the Senate to pass Internet sales tax legislation in addition to the moratorium.

“Sales tax parity should be addressed as part of legislation extending the moratorium on taxing Internet access,” Jennifer Safavian, the group’s executive vice president for government affairs, said by email. “Retailers support keeping Internet access tax free while closing the online loophole that essentially subsidizes online-only retailers against their brick and mortar competitors.”

Join the Network World communities on Facebook and LinkedIn to comment on topics that are top of mind.
Download Premium WordPress Themes Free
Premium WordPress Themes Download
Free Download WordPress Themes
Download WordPress Themes
udemy course download free
download redmi firmware
Download Nulled WordPress Themes
download udemy paid course for free
Tags: US House votes to ban Internet access taxes permanently
Next Post

Two years after Snowden leaks, US tech firms still feel the backlash

Recommended

Net neutrality advocates plan slow-lane protest

Intel’s mobile future is in blazing modems as it buries Atom failure

Facebook Twitter Youtube RSS

Newsletter

Subscribe our Newsletter for latest updates.

Loading

Category

  • AI
  • Careers
  • Cloud Computing
  • Connected Cars
  • Connected Vehicles
  • Data & Analytics
  • Data Center
  • Data Centers
  • Databases
  • Development
  • Enterprise
  • Hardware
  • Healthcare
  • IIoT
  • Infrastructure
  • Internet of Things
  • IoT
  • IT Leadership
  • Manufacturing
  • Mobile
  • Networking
  • Oil & Gas
  • Open Source
  • Security
  • Smart Cities
  • Smart Homes
  • Software
  • Software Development
  • Standards
  • Technology Industry
  • Uncategorized
  • Unified Communications
  • Virtualization
  • WAN
  • Wearables

About Us

Advance IOT information site of Washington USA

© 2024 iotwashington.com.

No Result
View All Result
  • Home
  • Internet of Things
  • Security
  • WAN
  • IoT
  • Cloud Computing
  • Data Centers
  • Mobile
  • Networking
  • Software

© 2024 iotwashington.com.

Login to your account below

Forgotten Password?

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In