"As representatives of America's consumer, technology, telecommunications, wireless, cable and Internet industries, we support Senator John McCain's middle ground proposal to the Internet Tax Non-Discrimination Act (S. 150). The moratorium expired in November 2003, and we believe the McCain proposal is a fair compromise that will help promote an expansion of Internet access and broadband deployment to all Americans.
The technology sector is willing to invest billions more in high-speed broadband Internet access, but taxes that impede consumer demand for access and the inconsistent application of state taxes on new technologies are a roadblock to those new investments.
The McCain compromise would extend for four years a moratorium against state and local taxes on Internet access, as well as "multiple and discriminatory" taxes targeting Internet commerce. The compromise also responds to the concerns state governments have expressed about Voice over Internet Protocol.
The McCain compromise will ensure that Internet consumers will not be forced to bear unreasonable taxes," said U.S. Internet Industry Association President Dave McClure, spokesperson for CIAC.
The Consumer Internet Access Coalition is composed of consumer organizations, Internet service providers and technology and communication providers.
