I rise to introduce the Internet Tax Moratorium and Equity Act. I encourage each of my colleagues to join me as a cosponsor of this bill. With the extension of the current moratorium of the Internet Tax Freedom Act of 1998 expiring soon on October 21, 2001, there are several bills that are currently being discussed in the Senate in order to address this issue. I had to take a look at the Internet sales tax issue for people who might be using legislative vehicles to develop huge loopholes in our current system. We are federally mandating States into a sales tax exemption. We need to preserve the system for those cities, towns, counties, and States that rely on the ability to collect the sales tax they are currently getting. I believe that the current moratorium on Internet access taxes and multiple and discriminatory taxes on the Internet should not be extended without addressing the larger issue of sales and use tax collection on electronic commerce. There are some critical issues here that have to be solved to keep the stability of State and local government, just the stability of it, not to increase sales tax, just protect what is there right now. I believe the Internet Tax Moratorium and Equity Act is a monumental step forward in protecting, yet enhancing, the current system. Certainly, no Senator wants to take steps that will unreasonably burden the development and growth of the Internet.
Editor's note · Context
Introducing the Internet Tax Moratorium and Equity Act and discussing its implications for state and local tax systems.
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