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Ayotte-Heller Reintroduce Bill to Permanently Ban Taxes on Internet Access

Jan 30, 2013

WASHINGTON, D.C. - U.S. Senators Kelly Ayotte (R-NH) and Dean Heller (R-NV) - members of the Senate Commerce Committee - announced today that they have reintroduced legislation that would permanently extend the current ban on Internet access taxes. The Permanent Internet Tax Freedom Act (S. 31) would prevent state and local governments from imposing new taxes on Internet access, and prohibit any multiple or discriminatory taxes on e-commerce.

"E-commerce is thriving largely because the Internet is free from burdensome tax restrictions. Unfortunately, tax collectors see it as a new revenue source, and they must be stopped," said Senator Ayotte, a member of the Senate Commerce Committee. "This legislation will provide certainty to the marketplace, helping the Internet continue to be a driving force for jobs and growth."

"Nevadans and every American should be able to access the Internet without penalties from the federal government. The Internet Tax Freedom Act will ensure a long-standing federal policy that prevents the government from raising taxes, and preserves the Internet as a tool for education and innovation. I am pleased to work with Senator Ayotte on this issue and encourage Congress to work together to extend this act permanently," said Senator Heller.

The Internet Tax Freedom Act (ITFA), originally enacted in 1998, was designed to prevent state taxes on Internet access, to ensure that multiple jurisdictions could not tax the same electronic commerce transaction, and to ensure that commerce over the Internet would not be singled out for discriminatory tax treatment. Congress has extended the Internet Tax Freedom Act multiple times, but the current moratorium is scheduled to expire in November 2014.

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