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Permanent Internet Tax Ban Moving Through Congress

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Computer binary codeby Josh Peterson, The Daily Signal

Tension between federal and state powers over a permanent ban on Internet access taxes took the spotlight this week on Capitol Hill.

Unless Congress votes to extend it, a moratorium banning state and local governments from taxing Internet access, first enacted in 1998, will expire November 1st.

The Permanent Internet Tax Freedom Act the House Judiciary Committee debated Wednesday not only would make the ban permanent, it also would ban “multiple and discriminatory taxes on electronic commerce.”

Committee members voted 30-4 to send the legislation to the full House of Representatives, but not before a serious debate on the federal government’s power to restrict state and local government’s ability to raise taxes.

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© 2014 The Heritage Foundation

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