‘A Great Day For American Consumers’

‘The Senate Voted To Keep Internet Access Tax Free – Permanently’

“Today, the Senate voted to keep internet access tax free – permanently. If that feels like a small achievement, it’s not. Taxing internet access has been barred by law since 1998. However, over the last 20 years, the prohibition wasn’t a permanent law: it was a moratorium. To keep the moratorium in place, Congress had to extend it. And extend it again.” (“Congress Makes Internet Access Tax Ban Permanent,” Forbes, 2/11/2016)

“[F]ederal law will now protect against state and local governments imposing taxes on Internet access services or email.” (Editorial, “Internet Tax Freedom—At Last,” The Wall Street Journal, 2/11/2016)

• “Since 1998 in the Internet's early days, Congress has passed a series of bills temporarily prohibiting state and local governments from imposing the types of monthly levies for online access that are common for telephone service. . . Until now, states that imposed Internet access taxes have been allowed to continue. Under the approved bill, those states would have to phase out their taxes by the summer of 2020.” (“Congress Gives Final OK to Banning Local Internet Taxes,” The Associated Press, 2/11/2016)

• “The measure also would ban some taxes on digital goods and services and will put an end to a series of temporary extensions on the tax prohibitions.” (“Congress Approves Permanent Internet Access Tax Ban,” Reuters, 2/11/2016)

‘This Boost To Economic Growth Is Especially Welcome’

“With the U.S. and world economies staggering along, and markets signalling trouble ahead, this boost to economic growth is especially welcome. Annabelle Canning of Capitol Tax Partners calls the permanent Internet tax ban ‘a strong, pro-investment signal,’ and Lord do we need more of those.” (Editorial, “Internet Tax Freedom—At Last,” The Wall Street Journal, 2/11/2016)

FCC Commissioner Ajit Pai: “This is a great day for American consumers. The U.S. Senate passed the Permanent Internet Tax Freedom Act with a strong bipartisan vote. This confirms a national consensus that state and local taxes on Internet access should be taken off the table once and for all.” (“Congress Makes Internet Access Tax Ban Permanent,” Forbes, 2/11/2016)

Executive Director of the Internet Tax Freedom Act Coalition Jay Driscoll: “This legislation ensures, once and for all, that hundreds of millions of consumers, students, families and businesses across the country will never have to pay onerous taxes to use the Internet. . . After 17 years and seven short-term extensions later, it was long past time for Congress to make this policy permanent.” (Internet Tax Freedom Act Coalition, Press Release, 2/11/2016)

National Taxpayers Union Executive Vice President Brandon Arnold: “Today the Senate passed an important bill that prevents government tax collectors from setting up tollbooths on the information superhighway. The Permanent Internet Tax Freedom Act will help to achieve the goal of making Internet access affordable for Americans all across the country. This marks an enormous win for taxpayers and consumers, and we applaud the Senate for sending this critical measure to President Obama's desk.” (National Taxpayers Union, Press Release, 2/11/2016)