This week, Senate Commerce Committee Chairman John Thune (R-SD) and Senator Ron Wyden (D-OR), and House Science, Space, and Technology Committee Chairman Lamar Smith (R-TX) and Representative Steve Cohen (D-TN) introduced identical versions of the ‘Digital Goods and Services Tax Fairness Act’ in the U.S. Senate (S. 851) and House of Representatives (H.R. 1643) respectively.
This bipartisan legislation prevents digital goods and services purchases, such as apps, music and ringtones, movies and TV episodes, e-books and video games, from being subject to multiple and discriminatory taxes.
Right now it’s possible to be taxed by several different jurisdictions for the same digital goods purchase. For example, let’s say you pay your wireless service bill in one area code, but you buy something with your device when you’re in another one, from a company in yet another part of the country. Under today’s tax regulations, you can potentially be taxed by all three jurisdictions!
With state and local governments desperate for new revenue sources, that scenario is quite possible, and there’s currently no law in place to keep that from happening. That’s why it’s important to make sure wireless consumers are treated fairly and that we have a “national framework” or some “rules of the road” for how the digital marketplace is fairly taxed at the state and local levels.
We thank Senators Thune and Wyden, and Representatives Smith and Cohen for their leadership on this issue and encourage Congress to quickly pass this much needed legislation!
Today, Senate Commerce Committee Chairman John Thune (R-SD), Senator Ron Wyden (D-OR) and 38 other bipartisan cosponsors introduced the Internet Tax Freedom Forever Act(ITFFA). House Judiciary Committee Chairman Bob Goodlatte (R-VA) and Representative Anna Eshoo (D-CA) introduced the companion bill (Permanent Internet Tax Freedom Act (PITFA), H.R. 235) in the House of Representatives last month.
Internet access is increasingly essential, especially as wireless devices and services become even more integrated into our daily lives. Taxes on Internet access would serve as a barrier to broadband adoption and the vital benefits it offers. For the past 17 years, your Internet access has been tax free, which helped lead to the widespread adoption and benefits we enjoy today.
We applaud the Senate’s action, and encourage Congress to move quickly to make Internet access tax free forever.
Young people don’t have the best track record for going to polling places to vote, so it makes sense that nearly half of 18 to 34 year olds think that an online voting system would encourage them to vote. via The Hill
The Telecommunications Act Turns 19
Telecommunications and wireless are constantly evolving, but the Telecom Act was last updated in 1996. It’s time for The Telecom Act to join the 21st century with a #CommActUpdate! via Energy & Commerce Committee