Douglas Alexander: “this proposal violates the Budget Act. It breaks our promise. While it has distinguished support among my colleagues, it…”

“this proposal violates the Budget Act. It breaks our promise. While it has distinguished support among my colleagues, it is a political trick because it means lower taxes here and higher taxes there. I suggest that my colleagues might go home and ask legislators and mayors whether they plan to fire teachers or raise local property taxes, whether they plan to raise college tuition or raise their State's tax on food, or whether they plan to let prisoners out of jail or put in a new State income tax. This legislation has the wrong name. It at least has an incomplete name. It ought to be called the ``Higher Local Property Tax Act of 2004'' or the ``Higher State Income Tax Law of 2004'' because that is inevitably what would happen. This does not have to happen this way. There is a better way. I support a 2-year ban on State and local taxation of the Internet. I have suggested four ways to fix the McCain substitute. I would take the Texas law that President Bush passed in 1999 and make it permanent, giving everybody up to a $25 credit on their tax. We need to continue this debate. We need a comprehensive review. The industry doesn't need a subsidy. My hope is that Congress will continue to debate and decide if it intends to give an additional subsidy to the high-speed Internet access business that we in Congress pay the bill with Federal dollars rather than sending the bill back to State and local governments.”