A coalition of more than 40 conservative and libertarian organizations and entities have written a letter to members of the United States Senate urging them to pass the Internet Tax Freedom Forever Act that would permanent extend the tax moratorium on Internet access.
The coalition’s members say that failure by the Senate to act before November 1 this year, when the present moratorium expires, will lead to increased taxes for internet consumers, who are currently protected “from increased costs when accessing and using the internet, and from the discriminatory or duplicative taxation of e-commerce.” The letter adds that “taxes on communications services are already punitive and discriminatory. The average sales tax rate on voice services is 17 percent, and 12 percent on video services, while the average general sales tax rate is 7 percent. Excessive taxes will hinder continued growth in the digital space.”
