Trade groups favor continued Internet tax ban

From...

by Jennifer Jones

(IDG) -- Industry trade groups on Thursday came out in favor of new Internet tax bills aimed at banning for another five years any new taxes on online access.

The two pieces of legislation, introduced by Rep. Chris Cox (R-Calif.) and Sen. Ron Wyden (D-Ore.), also direct states to begin tackling the complexity of their differing sales tax systems -- a sticking point so far in Internet tax debates. The bills collectively are known as the Internet Tax Non-Discrimination Act.

IDG.net INFOCENTER InfoWorld Main Page InfoWorld Test Center Subscribe to InfoWorld Newsletters Infoworld Opinions and Spotlights Related IDG.net Stories IT policies on tap for new Congress U.S. House approves bill to extend ban on new levies until 2006 Tech groups hope for a do-nothing Congress Features Top 10 rules for e-business success Bluetooth wireless connectivity set to take off DSL in distress Visit an IDG site Choose a site: IDG.net CIO Computerworld Darwin Dummies.com GamePro.com The Industry Standard ITWorld.com InfoWorld.com JavaWorld LinuxWorld Macworld Online Network World Fusion PC World Publish.com SunWorld

The Internet tax moratorium in place now is due to run out in October.

Lawmakers have been expected to extend the ban on Internet tax and even to put limits on discriminatory taxes on e-commerce, which both bills do. On the other hand, lawmakers were thought to be steering clear of the vexing issue of local jurisdictions' ability to demand that businesses collect taxes on sales across state lines.

But the new bills include measures that lay out a sales tax simplification plan that would be suitable to Congress.

State government groups recently scaled back an effort to streamline and standardize sales tax collection across the multitude of states with such a tax.

Harris Miller, president of Arlington, Va.-based Information Technology Association of America (ITAA), which came out in favor of the bills, said, "The issue is in part about fairness, and in part about guaranteeing that taxing jurisdictions do not plunder interstate electronic commerce for their own benefit."

Washington-based AeA, formerly the American Electronics Association, also sent letters to lawmakers in favor of the legislation.

"We applaud your efforts to keep the Internet free of the complex burdens imposed by the current U.S. sales and use tax administration system," said AeA president William Archery in the letter

Tech groups hope for a do-nothing Congress
February 2, 2001
Group to draft guidelines on cross-border e-commerce taxation
January 12, 2001
States seek sales-tax simplification
December 12, 2000
EU postpones decision on online taxation
November 29, 2000
California may pass state Internet sales tax
September 1, 2000

IT policies on tap for new Congress
(InfoWorld.com)
U.S. House approves bill to extend ban on new levies until 2006
(InfoWorld.com)
Tech groups hope for a do-nothing Congress
(The Industry Standard)
High-tech group gives advice to President, Congress
(IDG.net)
Internet sales tax unlikely to hit stride this year
(InfoWorld.com)
FTC agrees to self-regulation for children's privacy at Web sites
(Computerworld)
FTC, Commerce Department seek feedback on digital signatures law
(Computerworld)
New FCC chairman meets with mixed reviews
(InfoWorld.com)

Information Technology Association of America
AeA

Note: Pages will open in a new browser window

External sites are not endorsed by CNN Interactive.