The Senate could take up Internet tax moratorium legislation as s...
The Senate could take up Internet tax moratorium legislation as soon as Wed., Sen. Alexander (R-Tenn.) predicted Mon. Alexander urged officials attending the National Assn. of Counties (NACo) conference Mon. to contact their senators urging support for his bill…
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(S-2084) with Sen. Carper (D-Del.) that would revive the expired moratorium for 2 years while grandfathering those currently taxing DSL and other Internet-related services. “You might want to make a phone call to your local budget officer” to ask them “how much money you'd lose… if Congress banned taxes on telephone services,” he said. “Don’t ask them about Internet access taxes,” he added, because while that is what a rival bill -- S-150 by Sens. Allen (R-Va.) and Wyden (D-Ore.) -- states it’s targeting, he said language added to the bill would end telecom taxes once voice moved to the Internet through VoIP. “High-speed [Internet] access is a wonderful thing,” Alexander said, but he questioned whether it needed to be subsidized given its explosive growth, or whether banning taxes on VoIP was the most efficient way to subsidize it. Allen, meanwhile, has insisted S-150 doesn’t address VoIP and has made changes in a manager’s amendment to try to appease opponents. Alexander said he viewed the House measure, HR-49 by Rep. Cox (R-Cal.), as “the worst possible bill,” but made clear Allen’s compromises weren’t enough. Alexander also said he welcomed “less regulation” rather than more for VoIP, while adding that contentious issues such as E-911 service and the Universal Service Fund “have to be considered.” The audience applauded frequently and gave him 2 standing ovations. After his speech, NACo Pres. Karen Miller awarded Alexander the 2003 Legislator of the Year Award for managing to block consideration of Allen-Wyden last year.