To: Oeconomicus who wrote (1981 ) 3/5/1998 3:08:00 PM From: LoLoLoLita Respond to of 164684
Yes, I wholly agree with you that Congress would not limit the state's rights to tax "local" commerce. But I just glossed the bill and it's not obvious that you are right about it not affecting state sales taxes. Anyway, I'm sure there will be lots of amendments to clarify this ambiguity. went to gpo.gov and found the Senate Bill, S. 442, which follows: ---------------------- [DOCID: f:s442is.txt] 105th CONGRESS 1st Session S. 442 To establish a national policy against State and local government interference with interstate commerce on the Internet or interactive computer services, and to exercise congressional jurisdiction over interstate commerce by establishing a moratorium on the imposition of exactions that would interfere with the flow of commerce via the Internet, and for other purposes. _______________________________________________________________________ IN THE SENATE OF THE UNITED STATES March 13, 1997 Mr. Wyden (for himself and Mr. Kerry) introduced the following bill; which was read twice and referred to the Committee on Commerce, Science, and Transportation _______________________________________________________________________ A BILL To establish a national policy against State and local government interference with interstate commerce on the Internet or interactive computer services, and to exercise congressional jurisdiction over interstate commerce by establishing a moratorium on the imposition of exactions that would interfere with the flow of commerce via the Internet, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ''Internet Tax Freedom Act''. SEC. 2. FINDINGS. The Congress finds the following: (1) As a massive global network spanning not only State but international borders, the Internet is inherently a matter of interstate and foreign commerce within the jurisdiction of the United States Congress under article I, section 8 of the United States Constitution. (2) Even within the United States, the Internet does not respect State lines and operates independently of State boundaries. Addresses on the Internet are designed to be geographically indifferent. Internet transmissions are insensitive to physical distance and can have multiple geographical addresses. (3) Because transmissions over the Internet are made through packet-switching it is impossible to determine with any degree of certainty the precise geographic route or endpoints of specific Internet transmissions and infeasible to separate intrastate from interstate, and domestic from foreign, Internet transmissions. (4) Inconsistent and inadministrable taxes imposed on Internet activity by State and local governments threaten not only to subject consumers, businesses, and other users engaged in interstate and foreign commerce to multiple, confusing, and burdensome taxation, but also to restrict the growth and continued technological maturation of the Internet itself, and to call into question the continued viability of this dynamic medium. (5) Because the tax laws and regulations of so many jurisdictions were established long before the Internet or interactive computer services, their application to this new medium in unintended and unpredictable ways threatens every
Internet user, access provider, vendor, and interactive computer service provider. (6) The electronic marketplace of services, products, and ideas available through the Internet or interactive computer services can be especially beneficial to senior citizens, the physically challenged, citizens in rural areas, and small businesses. It also offers a variety of uses and benefits for educational institutions and charitable organizations. (7) Consumers, businesses, and others engaging in interstate and foreign commerce through the Internet or interactive computer services could become subject to more than 30,000 separate taxing jurisdictions in the United States alone. (8) The consistent and coherent national policy regarding taxation of Internet activity, and the concomitant uniformity, simplicity, and fairness that is needed to avoid burdening this evolving form of interstate and foreign commerce can best be achieved by the United States exercising its authority under article I, section 8, clause 3 of the United States * * * * * * NO SUMMARY FOUND -- VIEW "TEXT" TO SEE COMPLETE FILE * * * * *