Feeds

US ban on internet access tax gets seven year extension

But the option's still open

Security for virtualized datacentres

A ban on taxing internet access and email will almost certainly become law in the US. Both houses of Congress have approved an extension to the existing law, and President George Bush is expected to sign the bill within days.

A ban on taxing internet and email provision was first passed in the US in 1998 and has been extended twice for three year periods. The Senate had debated the creation of a permanent ban and the dismissing of the law altogether.

Those who backed the tax moratorium said internet access was a social and economic force for good and should escape state taxes.

"Broadband access is now a crucial driver of America's economy, and this moratorium extension will ensure continued investment and growth in the broadband marketplace," said Peter Davidson, a Verizon senior vice president, according to news agency Reuters.

States have argued that the option to tax access should be left open for the future, when broadband access is ubiquitous and when taxes could be a vital source of state income.

The Senate chose a compromise extension of seven years, the longest extension yet, but short of a permanent ban. The House of Representatives this week passed the senate’s text without amendments and unanimously.

The US President is expected to sign the bill into law. The previous extension expires on 1 November.

Copyright © 2007, OUT-LAW.com

OUT-LAW.COM is part of international law firm Pinsent Masons.

Intelligent flash storage arrays

More from The Register

next story
Scrapping the Human Rights Act: What about privacy and freedom of expression?
Justice minister's attack to destroy ability to challenge state
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
Hey Brit taxpayers. You just spent £4m on Central London ‘innovation playground’
Catapult me a Mojito, I feel an Digital Innovation coming on
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
EU to accuse Ireland of giving Apple an overly peachy tax deal – report
Probe expected to say single-digit rate was unlawful
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
EU probes Google’s Android omerta again: Talk now, or else
Spill those Android secrets, or we’ll fine you
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.