By Rep. Bob Goodlatte
New taxes are often a hotly contested issue in Congress, and whether and how the Internet should be taxed has been a question lawmakers have been asking since the days of dial-up.
During the infancy of the Internet, we had no idea how the Internet was going to change our world. Today, Americans go online instantaneously from their desktops, laptops, and smartphones. Additionally, our nation’s schools and libraries have become a vital lifeline for students and adults to gain access to the Internet in the rural and low-income communities of our country. Since 1998, Congress has passed temporary bans on states taxing Internet access in order for the Internet to grow and be a consistent driver of innovation for the American consumer. During the five times that Congress has renewed the ban, the support for keeping access to the Internet tax-free has been nearly unanimous.
This year the sun will set on the ban and it once again falls on both chambers in Congress to decide whether or not the Internet should remain a driver of innovation unencumbered by state taxation. The Internet is an unparalleled outlet of knowledge which makes it an indispensable tool. Americans’ access to it should be protected from burdensome taxes that some in state and local governments wish to impose on consumers just for logging on.
Low-income families and those who live in rural parts of the country, including Virginia, could pay up to ten times as much in communications taxes as high-income households, as a share of income.
Accordingly, Congress has answered the question of Internet access taxation with a resounding bipartisan response: make the ban on Internet access taxes permanent.
In June of this year, the House of Representatives unanimously passed my bill, the Permanent Internet Tax Freedom Act (H.R. 235), which bans states from taxing Internet access or placing multiple or discriminatory taxes on e-commerce. It permanently ensures that access to the Internet is not burdened by unnecessary costs and that Americans can continue to access the Internet tax-free. To be clear, this is not related to Internet sales taxes, but to a ban on the Internet access taxes you would see on your Internet Service Provider’s monthly bill like you currently see on your telephone bill.
The Permanent Internet Tax Freedom Act now awaits action in the Senate, where I hope lawmakers will act quickly to pass this vital piece of legislation that will protect American consumers and help keep the Internet affordable. This bipartisan legislation is a permanent fix to an issue that Congress has been addressing for over a decade and a key issue on which Members of Congress on both sides of the aisle can agree.
Opponents of a permanent fix argue that the Internet is no longer a fledgling technology in need of protection. However, what these small pockets of resistance ignore is the fact that Internet access is perhaps more indispensable now than it ever was. The Internet is now an unmatched hub for innovation, education, and self-improvement. If those who oppose this legislation were to have their way, Virginians and Americans as a whole would be slapped this fall with a surprise tax hike on their access to this critical resource.
A permanent ban on taxing Internet access would provide every American continued tax-free access to the Internet, the modern gateway to the American dream.
Rep. Bob Goodlatte represents the Sixth Congressional District of Virginia in the U.S. House of Representatives and serves as Chairman of the House Judiciary Committee.
